The average age of a first-time buyer in England has risen from 29 to 34 since the mid-1990s, according to new analysis tracking three decades of housing data.

The Skipton Group Home Affordability Index, developed in partnership with Oxford Economics, highlights a significant shift in the demographic profile of new homeowners. The findings reveal that the under-25 market has effectively collapsed, falling from nearly one in four purchases in the 1990s to approximately one in 15 today.

Shifting Financial Requirements

The report underscores the increasing financial strain on those entering the property market. Key findings include:

Dual Incomes: 52% of recent first-time buyers now rely on two or more full-time salaries, up from 40% in the 1990s.

Extended Mortgages: 54% of those with mortgages are now opting for repayment terms of 30 years or more to manage costs.

Family Assistance: Around one-third of buyers now require financial help from family members to secure a deposit.

Savings Gap: The average deposit now exceeds a full year of a household's combined gross income.

Even higher earners are not immune to these barriers. The index suggests that only one in three households earning over £77,800 can afford the average first-time buyer home in their local area using their own finances.

Regional Disparities and Property Quality

While affordability remains a challenge, the research indicates that those who do successfully board the housing ladder are purchasing higher-quality assets. Nearly 90% of first homes now meet the Decent Homes Standard, and buyers are increasingly favouring houses over flats.

However, a clear divide exists between the capital and the regions. While Londoners typically purchase smaller flats with fewer bedrooms, they often occupy newer, more energy-efficient spaces compared to buyers in the North and East of England.

Outlook to 2028

There is a "glimmer of hope" in the projections, with buying affordability expected to improve from 12.1% in 2025 to 14.4% by the end of 2028. This shift could potentially enable an additional 125,000 households to enter the market.

Despite this, the report warns that geopolitical instability and rising energy prices remain significant risks that could derail these gains.

Stuart Haire, Skipton Group CEO, said: "This research tracks, in detail, how the opportunity to buy a first home has declined over several decades. It shows how the aspiration of homeownership has been pushed further out of reach for many younger adults, delaying independence and stability.

"With fewer people buying in their twenties, there’s a growing dependence among first-time buyers on two full-time incomes or help from their parents. However, it’s encouraging to see early signs that affordability may be starting to improve, and the focus has to be on realising those gains and ensuring more people can realistically share in them."