A new report has revealed the average age of first-time home buyers in the UK compared to three decades ago. The research, conducted by Go.Compare home insurance, investigates government data on first-time buyer trends.
It shared that the average age of first-time home buyers is 33, the same as it was in 1990,[1] despite inflation and the ongoing cost of living crisis. The insurance comparison site also revealed that the average age for all mortgage borrowers is 36, which has increased by two years since 1990.
The proportion of first-time buyers under the age of 25 has also decreased by 18.1% and increased by 9.5% in 35 to 44-year-olds. Although the average age of first-time home buyers is the same as in 1990, the figures suggest it’s not as easy for under 25s to invest in a home.
OLDER PROPERTY
The average age of Brits buying a modern home is 36, compared to 37 for those buying an older property. The insurance comparison site’s research also shows that the UK prefers older houses, with 64% saying an older build would be their dream home if cost were not an issue.[2]
Its data has further revealed the median cost for home insurance policies, showing that, on average, older properties are pricier to insure compared to new builds.
The average annual cost for all insurance policies combined amounts to £185 for an older build, £39 more than for a new build. When looking at different insurance policies individually, buildings only cover is revealed to have the biggest price difference, with it costing £62 more on average for old buildings.[3]
|
Cover type |
Building type |
Average annual cost |
|
All |
New building |
£146 |
|
All |
Old building |
£185 |
|
Buildings and contents cover |
New building |
£160 |
|
Buildings and contents cover |
Old building |
£199 |
|
Buildings only cover |
New building |
£97 |
|
Buildings only cover |
Old building |
£159 |
|
Contents only cover |
New building |
£74 |
|
Contents only cover |
Old building |
£67 |
Ceri McMillan, home insurance expert at Go.Compare, says: “The data clearly shows that older properties cost more insurance-wise, even though they’re the UK’s preference for a home. However, there are many ways to get the cost of insurance down, such as looking after and updating your home, or combining buildings and contents insurance to get a discount.
“It’s interesting to see that the average age of a first-time buyer has not changed much over the years.
“But in the cost of living crisis, buying a house can be a difficult prospect, especially as the expenses don’t stop after the purchase. All the more reason to consider the different long-term costs between old and new builds, as well as the different types of insurance available.”
