A typical monthly mortgage payment on a first-time buyer property is £350 more than five years ago according to Rightmove.

Rightmove’s weekly mortgage tracker shows that the average first-time buyer mortgage payment is 59% higher than five years ago, despite market improvements, with a typical first-time buyer is currently paying a mortgage of £940 per month, compared with £590 per month five years ago, however, payments are still £155 lower than the peak in July 2023.

Matt Smith, Rightmove’s mortgage expert, said: “Higher mortgage rates mean home-movers need to consider how much they can afford to pay each month on a monthly mortgage, even if they can meet the asking price of a home. Another measure of affordability which is restricting some first-time buyers from getting onto the ladder is how much they can borrow. It’s encouraging to see that the regulator is considering how they may be able to enable first-time buyers to borrow more in a responsible way, as we think this will help to unlock more opportunity, particularly for those with smaller deposits.”

In London, the average first home is 6.8 times the national average annual wage of two people, compared with 1.8 times for a property in the North East. The research highlights challenges for single first-time buyers, with more than half of regions out of reach for someone on their own with an average wage, even with a 10% deposit.