Research shows space and location compromises are pushing buyers to move on quickly
First-time buyers in the UK are staying in their initial homes for an average of just 4.5 years, less than half the duration compared to owners of second or third homes, according to new research by Santander UK.
The findings suggest that practical factors are now overtaking emotional ones in homebuying decisions. One in four first-time buyers surveyed reported no emotional attachment to their property, describing it as a “stepping stone.” This contrasts with older generations — around 20% of Britons over 80 are still living in their first home.
Affordability and limited housing stock are pushing new homeowners to compromise, particularly on space and location. Over half (51%) of first-time buyers purchase either studio flats or homes with one to two bedrooms, despite 18% of these buyers having at least one dependent in 2024.
In terms of location, 67% of first-time buyers end up purchasing in neighbourhoods they had never visited before, often due to a lack of available or affordable options nearby, the lender’s data shows.
The need for more space and a better living environment is leading many homeowners to seek their next property sooner than expected. Key drivers include the desire for a larger home (37%), more desirable location (18%), proximity to family (18%) and access to outdoor space (14%).
“While many of us might feel sentimental about the day we got our first set of keys, the new wave of more savvy first-time owners seems to be increasingly pragmatic about their first home purchase,” said David Morris (pictured right), head of homes at Santander UK.
“Given the ever-present affordability challenges faced by today’s first-time buyers, many are finding that the only way to get onto the housing ladder is by making compromises on space or location. Once that first foot is secure, their pragmatism is paying off, as many find they can quickly move on to a property better suited to their long-term needs.
“Checking that you can port your mortgage product and getting to grips with the cost of moving up the ladder are key for those buyers already looking one step ahead.”
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