First-time buyers spent more of their income on their mortgage than home movers, who typically own more of their home, making their loans smaller. In the South East, those buying their first home paid 23.5pc of their income towards their mortgage.
Overall, there were 723,000 mortgages granted in 2025, up from 17pc on 2024, the data found.
Buyers in London had an average of £280,000 of mortgage debt, compared to one of the lowest level areas, Northern Ireland, which saw an average outstanding balance of £99,500.
The mortgage market has been volatile in the last few years, harking as far back as Liz Truss’s disastrous mini-Budget in 2022 and the global impact of the war in Ukraine, and now Iran.
James Tatch, of UK Finance, said: “It has been a challenging time for those trying to buy a property in recent years, with affordability pressures weighing heavy.
“But the pain is not felt equally across the country. Property prices, wages and demographics vary greatly across and within regions. All of these have an impact on affordability and, if you’re a landlord, how profitable your investment property is.”
