The number of first-time buyers getting onto the property ladder jumped by nearly a fifth last year, according to Halifax, thanks to easing interest rates and improving affordability.
First-time buyers made up 54% of all property purchases in 2024, the bank said, the biggest majority on record. Last year 341,068 achieved their home ownership dreams, up 19% compared to 2023. East Anglia and the South West saw the largest increases in first-time buyers, with numbers up 22% in 2024 against the previous year.
Amanda Bryden, head of mortgages at Halifax, said: “This likely reflects an improvement in mortgage affordability, as interest rates eased and stabilised, providing more certainty for those stepping on to the ladder.
“Many are still teaming up to make the numbers work, with most buying homes jointly. This makes sense given the average deposit of £61,090 and an average starter home price of £311,034, which can be a stretch for those with a single income.”
Over the last decade, London is the only region of the UK which has seen first-time buyer numbers fall, with 8% fewer first-time buyers in 2024 than there were 10 years ago. This compares to a 25% increase in first-time buyers in Northern Ireland and a 20% increase in buyers in Wales since 2014.
Average first-time buyer age reaches 33
The average age of a first-time buyer increased by a year to 33 in 2024, Halifax’s research found, the oldest it’s been since 2005. The average person buying a first home is now 31 years or older in all UK regions and nations.
The youngest first-time buyers are in the Shetland Islands in Scotland, where the average age of those getting onto the property ladder is just 27. The oldest first-time buyers, who typically purchase a property at the age of 38, are in Slough in Berkshire and Sutton in South London.
The most affordable place to buy a first home in the country is in Country Durham in the North of England, where the average first-time buyer property costs £142,248 and average earnings are £39,245. This means first-time buyers need to borrow roughly 3.6 times the average salary, compared to 6.6 times the average salary when buying across the UK.
The report predicts modest house price growth in 2025, butupcoming Stamp Duty threshold reductions won’t make things any easier in the short term for first-time buyers.
What the report highlights is that there are plenty of tools and schemes on offer to help, includingmortgage products aimed at those buying a first home.
Halifax concluded: “The best first step is to speak to a mortgage adviser or broker. By understanding what you need to save and what's affordable, you can turn the dream of owning a home into reality."
