2024 saw a rise in first-time buyers with 341,068 people stepping onto the property ladder, a 19% increase compared to 2023, data from Halifax has revealed.
This makes up over half (54%) of all home purchases made with a mortgage last year, the biggest majority on record.
First-time buyers put down an average deposit of £61,090 and paid an average price of £311,034 for their first home in 2024, up 8% from the previous year.
The average age of a first-time buyer increased to 33 years old, two years older than 10 years ago.
Many first-time buyers purchased joint names, with 62% of mortgage completions in 2024 being in two or more names.
However, 38% of buyers started on the property ladder on their own, a 1% increase from 2023.
Amanda Bryden, head of mortgages at Halifax, said: “Last year saw a big increase in the number of first-time buyers, up almost a fifth from 2023.
“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.
Bryden added: “It’s not surprising the average first-time buyer is now 33 years old, the oldest in the last two decades.
“Despite the challenges of saving for a deposit and rising house prices – up 8% in 2024 – it’s encouraging that first-time buyers still account for more than half of all new mortgages, the biggest majority ever recorded.”
According to the report, all regions in the UK saw an increase in the number of first-time buyers in 2024, with East Anglia and the South West experiencing the largest increases, up 22% from 2023.
The average house price for a first-time buyer is now around 6.6 times the average UK salary, making it challenging for single individuals to purchase a home.
Bryden added: “Looking ahead we expect modest house price growth in 2025, but upcoming Stamp Duty threshold reductions won’t make things any easier in the short term for first-time buyers.
“However as last year’s figures show, there are ways to make your money go further, with affordable areas in the North of the country, such as County Durham or Burnley, offering more value.
She continued: “While the journey to homeownership can look daunting, there are lots of tools and schemes available to help, such as mortgage products tailored for those buying a first home, or Shared Ownership can also be a route to stepping on the property ladder at lower cost.
“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.”
