Santander, a prominent mortgage lender, disclosed that over 20% of its first-time homebuyers this year are above the age of 40, with the eldest borrower being 70 years old. The trend is attributed to rising house prices and evolving life circumstances, leading individuals to enter the property market at older ages, potentially carrying mortgages into their later years.
Recent data from Santander indicates a growing segment of older first-time buyers in the mortgage market, with 22% of new homeowners in 2025 aged over 40, up from 18% in the previous year. Notably, there has been a significant increase in individuals over 60 purchasing their first property, marking a 14% rise compared to the previous year.
The maximum lending age for Santander’s mortgages is set at 75 for capital and interest repayment and 70 for interest-only mortgages. Despite the surge in older borrowers, there is a decline in younger individuals pursuing homeownership, with the proportion of buyers under 25 decreasing by nearly a quarter from 2024 to 2025, although the youngest first-time buyer this year was 18 years old.
David Morris, head of homes at Santander, emphasized that achieving homeownership remains attainable at any age. He highlighted the diverse paths individuals take to secure a home, whether through family assistance, inherited wealth, or long-term savings for a down payment. However, Morris also pointed out the widening gap between younger and older generations in accessing homeownership, influenced by regulatory changes and supply shortages in the property market.
Lenders commonly impose age limits for mortgage applicants based on when the mortgage term concludes, often extending up to 95 years old. While obtaining a first-time mortgage at an older age is feasible, lenders may restrict term extensions if borrowers seek to lower their monthly payments, considering factors like property prices and increased life expectancy.
