Copy article

Year of the first-time buyer?

ended 25. February 2026

With lenders focusing a lot of their chunkiest rate cuts at higher loan-to-values, and more 100% mortgages being launched or extended nationwide, such as the Melton BS this week, are you seeing increased demand from first-time buyers? Are FTBs aware of the significantly improved choice now available to them? And are you helping more tenants become owners for the first time? Any stats, such as the % increase you're seeing in FTB enquiries relative to this time last year, send them across. In short, with lenders innovating, could 2026 be the year of the FTB?

8 responses from the Newspage community

Copy all

Star Quote
Copy

Editor
Nouran Moustafa
Practice Principal & IFA at Roxton Wealth
We’ve seen a 50% rise in first time buyer enquiries compared to this time last year, and they now make up around 20 - 30% of the business we’re seeing nationally. The real demand is at 95% LTV, that’s where most buyers feel comfortable. While lenders such as Melton Building Society reintroducing 100% mortgages is positive for accessibility, enquiries for those remain limited. Buyers understand the risks around negative equity and higher long term costs. The improvement in choice is boosting confidence, though, and if lenders continue to compete sensibly at higher LTVs, 2026 could be a strong year for first time buyers, driven by stability, not just risk. Affordability remains the key filter, and responsible underwriting at higher LTVs will ultimately determine whether this momentum is sustainable. With rents still elevated in many areas, monthly mortgage payments at 95% LTV are increasingly comparable, which is prompting tenants to reassess. Competition is shifting back toward buyers.
Copy

Editor
Aaron Strutt
Product and Communications Director at Trinity Financial
There is little doubt that first-time buyers have a huge amount of choice when it comes to mortgage options and getting on the property ladder. There are low- or no-deposit mortgage options, income multiples of up to 6.5 times salary, and an increasing number of options for those renting or requiring help from the Bank of Mum and Dad. Recent figures from Connells showed that first-time buyers purchased 34.3% of homes sold across Great Britain in January, and in London, first-time buyers now account for 48.3% of purchases. Fixed rates are still pretty cheap, and we have seen lenders improve the prices of their lower deposit mortgages in recent weeks. It is impossible for first-time buyers to know all of the options available to them, simply because there is so much choice, and the market changes on a daily basis.
Copy

Editor
Louis Mason
Content and Communications Director at Oportfolio Mortgages
We’re seeing a clear increase in first-time buyer activity as lenders compete more aggressively for business. Rate cuts in the 90%–95% space and the return of some 100% products have definitely shifted opinions for many renters who once felt locked out of purchasing their own property. The door now feels at least partly open again. First-time buyer enquiries are up generally, and this is likely due to improved affordability and growing confidence as lenders innovate. However, awareness still lags behind reality. Many buyers assume they need large deposits or that high loan-to-value (LTV) rates are unaffordable, so a big part of our role is helping them understand how much choice has returned to the market. Could 2026 be the year of the first-time buyer? I’d say it has the potential. After a few years of feeling priced out, first-time buyers may finally be getting a foot in the door, rather than just a toe on the welcome mat.
Copy

Editor
Stephen Perkins
Managing Director at Yellow Brick Mortgages
Right now is a perfect time for first-time buyers to get on the housing ladder. It is still a buyers' market and, with interest rates reducing and affordability and deposit requirements easing, more and more aspiring borrowers are getting a leg up onto that important first rung. However it is important to know your budget, be prepared and utilise your strong negotiation position to secure your dream first home for the best possible price. Also, first-time buyers need to be extremely wary that, if mortgage rates continue to fall and the base rate is cut, things could switch from a buyers' to a sellers' market overnight. Then first-time buyers will find that the affordability they have now will start to be stretched as house prices start to edge up again. It's a window of opportunity that could slam shut at any time.
Copy

Editor
Craig Fish
Director at Lodestone Mortgages
First-time buyers are back, and in force. Around 60% of my new enquiries right now are from FTBs, which is a clear jump on this time last year. Bigger rate cuts at higher LTVs and the return of more 100% deals have injected real confidence into the market. It’s not just helping people become owners, it’s unlocking the whole chain. When first-time buyers move, everyone else can. Spring has definitely brought a breath of fresh air. There’s momentum building, and if swaps keep easing, 2026 could absolutely become the year of the first-time buyer. But this window won’t stay open forever. Whilst it feels like a buyer’s market today, that can change quickly if demand ramps up. Preparation will be everything.
Copy

Editor
Peter Dockar
Chief Commercial Officer at Gen H (Generation Home)
Yes, while housing affordability is a stretch for too many, a combination of improving house price to income ratios and lower interest rates alongside is meaning there are more options for FTBs (especially at high LTI) than at any point in the past 15 years.

We've seen this at Gen H with the number of buyers feeling confident to borrow more than 4.5x their salary double since August.  We've also been delighted to see cases where long-time renters are using tools like 95% LTV P&P interest only to purchase of their landlord and finally own their own home. The number of available products and schemes specifically designed to support first-time buyers has perhaps never been higher, and I am thrilled to see so many people benefitting.
Copy

Editor
Zaman Sheikh
Director at Northwood Chelmsford & WN Properties Shenfield
higher loan to value at 100% in theory means lower barrier to entry for FTB. with average property prices increasing and more cash required to buy, this would help substantially.

I am finding that not many are aware of the 100% mortages, and those that are are wary of the 'catch' whether that be affordability. high interest rates or stricter lender criteria. softening of these requirements should boost buyers comign to teh market.

There is a large supply of ex-rental homes for sale which give FTB more choice in housing stock, this paired with existign renters that maybe FTB buying their rented property should boost FTB demand.

I am findign an increase of FTB across Essex, moving out from london, they are also getting older.
Copy

Premium
Kylie-Ann Martin
Director at KAG Financial
We have definitely seen an increase in first time buyers during the first two months of 2026. With lenders reducing rates, and many more options being available for lower deposits - it's easy to see why. Whilst many have held off buying through fear of higher rates and larger deposits - as the market has listened and started to offer products to get first time buyers moving again, this has given this part of the market a new lease of life. For us as brokers it is great to see so many first time buyers, especially those stuck in high rental properties that struggle to save, now start to look at getting on the ladder. Hopefully this will long continue throughout 2026.