Average FTB mortgage payments up 61% since 2019

First-time buyers are shelling out over £1,000 a month in mortgage payments – more two thirds the amount since the last General Election, data from Rightmove reveals.

Man with stubble on face with serious expression but wearing a pink t-shirt and about to make a mortgage payment on his bank card.

First-time buyers are shelling out over £1,000 a month in mortgage payments – more two thirds the amount since the last general election, data from Rightmove reveals.

The average first-time buyer mortgage payment has risen by 61% since the last election year of 2019, from £667 to £1,075 per month.


That payment has outpaced wage growth – up by 27% over the same five-year period – while the average rate for a 5-year fixed, 80% Loan-To-Value (LTV) mortgage is 5.09%, up from 2.24% in 2019.

The mortgage payment calculations assume first-time buyers are taking out a 5-year fixed mortgage, spread over 25 years, at 80% LTV.

Meanwhile, the average first-time buyer home is now £227,757, rising by 19% since 2019.

Tim Bannister, Director of Property Science, Rightmove

Tim Bannister, Rightmove’s property expert, says: “As rates have increased over the last five years, the amount that a typical first-time buyer is paying each month on a mortgage has outstripped the pace of earning growth.

“Some first-time buyers are looking at extending their mortgage terms to 30 or 35 years to lower monthly payments, or looking at cheaper homes for sale so that they need to borrow less.”

He adds: “If mortgage rates reduce, this will help first-time buyers in the short term more so than election housing promises.

“We hope that the next government can support first-time buyers with well-thought out policies, which address the difficulties of saving up a large enough deposit and being able to borrow enough from a lender.”

Nathan Emerson, Chief Executive, Propertymark

Nathan Emerson, Chief Executive of Propertymark, says: “Surging interest rates and inflation over the last few years have impacted the housing market with force.

“However, with the next general election now under two weeks away, Propertymark is keen to see targeted support for first-time buyers at the first opportunity from any incoming government.”

He adds: “The potential of homeownership should never be a prospect that is ever out of reach for people.

“As inflation is now back within the range initially targeted, we are optimistic to see the base rate cut as soon as realistically possible, which would be very welcome news for people stepping onto the housing ladder when it does happen.”

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