The first-time buyer market is often discussed in binary terms, either resilient or struggling. The reality, reflected clearly in the latest Twenty7tec search data, is far more nuanced. First-time buyers are still highly active, but the way they engage with the market has changed significantly, with affordability constraints shaping almost every stage of the journey.
In 2025, standard residential mortgage searches reached 3,496,996, up from 3,294,037 in 2024. This represents a year-on-year increase of just over 6.1%, confirming that buyer intent has recovered from earlier lows but has not returned to the levels of growth seen in previous market cycles. Weekly search volumes across both years also point to stability rather than acceleration. Activity remained consistently within a similar band throughout 2024 and 2025, suggesting that while first-time buyers are still engaging with the market, they are doing so cautiously and often over longer decision-making cycles.
The most striking trend across both years is the continued concentration of activity at higher loan-to-value ratios. In 2024, searches in the 85 to 90% LTV range totalled 1,243,383. In 2025, this rose to 1,359,451, representing a year-on-year increase of approximately 9.3%. This growth outpaces the wider market and reinforces how dependent first-time buyers have become on high-LTV lending in order to take the first step on the ladder. Lower LTV bands continue to account for a far smaller share of activity, highlighting how difficult it remains for many buyers to accumulate larger deposits in the current economic environment.
For advisers, this shift increases exposure to rate sensitivity, lender criteria changes and affordability stress testing. As well as extended pressure, the market is increasing the time advisers are putting into FTB, squeezing their remuneration relative to the effort.
Searches by property valuation also show a clear and persistent concentration. In 2024, searches in the £250,000 to £499,999 range stood at 1,368,307. In 2025, this rose to 1,531,393, an increase of around 11.9% year on year. This growth suggests that while first-time buyers are pushing forward, they are doing so within a tightly defined price bracket. Activity below £150,000 and above £500,000 remains comparatively limited, reinforcing the idea that affordability ceilings, rather than aspirational buying, are defining the market.
Nathan Reilly, Commercial Director at Twenty7tec, said:
“When viewed together, the 2024 and 2025 data paints a clear picture. First-time buyer demand has increased modestly, but the fundamental challenges facing FTBs have not let up. Growth is concentrated in high-LTV borrowing and mid-range property values, while loan sizes remain constrained. This reinforces the reality advisers are already experiencing. First-time buyer journeys are longer, more complex and increasingly reliant on careful scenario planning. Protection conversations, deposit provenance and long-term affordability are becoming central to the advice process, not secondary considerations.”
Looking ahead to the next 12 to 24 months, the outlook for first-time buyers is bestdescribed as cautiously stable. Demand remains, but progress will depend on how effectively advisers, lenders and product innovation can respond to the affordability realities reflected so clearly in the data.
Data referenced in this article is drawn from Twenty7tec’s INSIGHT Pro platform, which analyses millions of real-time mortgage searches conducted by advisers across the UK. The platform provides granular visibility into buyer behaviour, lending trends and affordability dynamics across the mortgage market. INSIGHT Pro is available on enquiry for lenders, brokers and industry professionals seeking deeper data-led insight.”
