First-time buyers inject momentum into property market with highest share in 20 years

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New figures from Connells show that FTBs made up more than a third of home purchases last month, with the number for London even higher.

10th Feb 20260 517 1 minute read David Callaghan

First-time buyers now make up more of the property market than they have in the last 20 years, Connells reveals.

They purchased 34.3% of homes sold across Great Britain in January, which was the highest share recorded since 2006.

Even higher

And in London, FTBs now account for an even higher proportion, at 48.3% of purchases, up from 22.4% a decade ago, according to the newly-merged research team at Hamptons and parent company Connells.

Nearly all (93%) of FTBs secured a sub-5% mortgage rate – the highest share since Autumn 2022, and up from 67% in January last year.

Edging down

Nearly one in four FTBs (24.2%) took out a 90%+ LTV mortgage last month, the biggest proportion since 2008.

While fewer FTBs stretched their mortgage terms, with the share borrowing over 30 years edging down from last year’s peak.

Rising first-time buyer numbers should also help support overall transaction levels this year.”

Aneisha Beveridge, Research Director, Connells

Aneisha Beveridge, Research Director at Connells Group, says: “Falling mortgage rates, including the first sub-3.5% deals for some time, have been the main driver of early-year activity.

“First-time buyers have been the biggest beneficiaries, particularly where higher loan-to-value products have become more competitively priced.

“Rising first-time buyer numbers should also help support overall transaction levels this year, especially at a time when existing homeowners are moving less often,” she says.

Ease pressure

“And because many of these purchasers are currently renting, a steady transition into homeownership could gently ease pressure in the lettings market, taking a little of the heat out of rents if the trend continues.”

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