The number of first-time buyers in the UK has increased by nearly 100% in the last decade hitting a high of almost 410,000 in 2021, according to market analysis published by Stipendium.

In the last decade, the price of an average first-time buyer home has increased by £75,254, rising from £141,572 to £216,826. The number of first-time buyers in the same period has increased from 211,920 a year to 409,370.

The initial pandemic year of 2020 is the only year to have registered a decline in first-time buyer levels in the last 10 years, dropping -11.2% on 2019. With the launch of the stamp duty holiday, however, first-time buyer activity has rebounded at an alarming rate in 2021, increasing by 46.6% to 409,370, the highest annual total seen in the last decade.

The biggest regional increase in the number of first-time buyers has been recorded in Northern Ireland where they’ve increased by 158.2% in the last decade, followed by England’s South East (133.9%), the East Midlands (133.6%), the West Midlands (129.3%), and the North West (120.6%).

The smallest increase has been recorded in London where the number of first-time buyers has increased by just 81.7%.

Stipendium CEO Christina Melling said: “There’s no doubt that the task of homeownership is a tough one for the nation’s first-time buyers. Not only are prices high and climbing ever higher, but so too is demand and activity and so they are having to battle it out against multiple buyers, many of whom already have the financial foundation of an existing property to put them ahead.

“Despite this tough landscape, it’s reassuring to see that the level of first-time buyers taking that first step onto the ladder is at its highest in a decade thanks to the additional help of government buying schemes, such as Help To Buy.

"They’ve also benefited from a prolonged period of mortgage affordability, while the wider adoption of technology within this segment of the market has enabled them to utilise various time and money saving products along the way.”

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