Average mortgage for UK first-time buyer hits record high of £210,800

The Guardian - World NewsCenter-LeftEN 3 min read 100% complete by Tom KnowlesDecember 15, 2025 at 01:01 AM

AI Summary

medium article 3 min

In the UK, first-time buyers are taking out record-high mortgages, averaging £210,800 in the year to September, representing 20% of all housing market spending. Savills reports that lenders loaned a record £82.8 billion to 390,000 first-time buyers, a 30% increase from the previous year. This trend is driven by rising wages, a desire for houses over flats, and a more relaxed approach from lenders, who have eased affordability stress tests. The average age of a first-time buyer is 34, and many took advantage of the stamp duty holiday and falling prices in some areas. The Financial Conduct Authority reminded lenders to offer more flexible stress tests, allowing first-time buyers to borrow £20,000-£40,000 more.

Key Entities & Roles

Key Player Opposition Context

Mortgage Advice Bureau 50% Hamptons 60% London 70% Savills ×480% UK ×280%

Keywords

first-time buyers 100% mortgage 90% housing market 70% property prices 60% affordability tests 60% mortgage lenders 50% borrowing costs 50% stamp duty holiday 50% stress tests 40%

Sentiment Analysis

Positive

Score: 0.20

Source Transparency

Source

The Guardian - World News

Political Lean

Center-Left (-0.40)

Far LeftCenterFar Right

Classification Confidence

90%

Geographic Perspective

United Kingdom

This article was automatically classified using rule-based analysis. The political bias score ranges from -1 (far left) to +1 (far right).

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first-time buyers mortgage housing market property prices affordability tests mortgage lenders borrowing costs stamp duty holiday stress tests

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