Rising Age of First-Time Buyers Drives Rental Demand – Opportunities for Property Investors

Getting onto the property ladder is becoming increasingly difficult for first-time buyers in the UK, especially in high-cost areas like the South East. New research from My Home Move Conveyancing reveals that the average age of first-time buyers has risen significantly, with many now needing longer to save for a deposit and meet mortgage requirements.

Across England, the South East has seen the largest increase, with first-time buyers now averaging 34 years old, up almost three years since 2021. Meanwhile, other regions such as the North West have also experienced sharp rises, with the average age moving from 30 to 32 years.

What This Means for the Rental Market

As more first-time buyers in the UK are priced out or delayed in entering the market, rental market demand continues to rise. This leads to increased rents and stronger returns for landlords. The impact is particularly evident in regions with the highest increases in first-time buyer age, such as the South East, North West, and London.

First-Time Buyer Age Across the UK (2021–2025)

What This Means for Investors

• Rental Market Demand is Growing: Supported by older first-time buyers staying in rented accommodation for longer periods.
  
  
• Rising Rents: Limited supply and higher rental demand naturally push up rental yields, benefitting landlords.
  
  
• Long-Term Growth Potential: High-average-age regions like the South East present ideal property investment opportunities for well-located, high-quality rental stock.

Alistair Singer, Director at My Home Move Conveyancing, explains:

“The gradual increase in first-time buyer age reflects the changing property market and how the cost-of-living crisis affects buyers. While some may wait longer to purchase, demand for rental properties remains strong, presenting opportunities for investors to benefit from both rental income and long-term capital growth.”

Investor Takeaway

The rising age of first-time buyers in the UK is driving long-term shifts in the housing market. With consistent rental market demand, regions such as the South East and North West stand out for stable yields and growth potential.

For investors looking to take advantage of these trends, now is the time to act. Magnate Assets works with clients to identify targeted property investment opportunities aligned with demographic and economic shifts, ensuring portfolios are well-positioned for sustainable returns.