Research also reveals low awareness of flexible lending options among younger buyers
First-time buyer anxieties vary considerably by age group, according to new research from Mortgage Advice Bureau (MAB), with concerns ranging from upfront hidden costs among younger buyers to long-term repair expenses among those in their thirties.
The study found that nearly a third (29%) of aspiring homeowners identify hidden costs — including stamp duty, solicitor fees and moving expenses — as one of the principal barriers to getting onto the property ladder.
Among 18- to 24-year-olds, hidden costs are the single greatest concern, cited by 38%. More than a third (36%) of this age group also point to job and income insecurity as a significant worry, reflecting broader financial uncertainty among Gen Z buyers.
For those aged 25 to 30, high house prices are the dominant issue, with 56% naming them as a key concern. Rising mortgage rates are a worry for 37% of this cohort, making affordability the central pressure for younger millennials.
Buyers aged 31 to 40 show a different set of priorities. Over a third (36%) cite unexpected repair costs as their primary concern once in homeownership, indicating a shift from pre-purchase anxieties to the ongoing financial responsibilities of maintaining a property.
Despite these affordability pressures, awareness of products designed to address them remains low. Only 19% of 25- to 30-year-olds and 15% of 18- to 24-year-olds were aware of track record mortgages, which factor in rental payment history when assessing affordability. Awareness of part-and-part mortgages — which combine repayment and interest-only borrowing to reduce monthly payments — was similarly limited across all younger age groups.
"Our research shows there's no longer a one-size-fits-all first time buyer journey," said Rachel Geddes (pictured right), strategic lender relationship director at Mortgage Advice Bureau. "Every generation is facing a different set of financial pressures and priorities when it comes to getting onto the property ladder.
"Many of these concerns are completely understandable, particularly at a time when affordability pressures remain high and buyers are trying to navigate rising living costs alongside saving for a home. However, there are now far more flexible lending solutions and affordability-focused products available than many people realise, designed specifically to help first time buyers overcome some of these financial barriers.
"That's why speaking to a broker earlier in the process can make such a difference. The right advice can help buyers understand what may already be achievable, giving them the confidence to take that first step onto the property ladder sooner."
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