80 Percent of First-Time Buyers Moved Back in With Parents to Get on the Ladder, Survey Finds

The TSB First-Time Buyer Survey reveals how many UK buyers are compromising on home size and space to secure properties in their preferred locations.

TSB surveyed over 1,000 first-time buyers who had bought a property in the past year – and found that compromise and location are key, as three quarters (75%) of new property owners opted for fewer bedrooms, a smaller property and less outdoor space to buy in a preferred post code.

Almost two fifths (38%) said their new home was mostly what they wanted, but with a few compromises. Over a fifth (22%) said they had purchased their dream home. Almost one in 10 (9%) said they had made a major compromise and opted for affordability and location.

Getting on the ladder

TSB found that almost every first-time buyer (96%) surveyed was offered some form of financial help with their deposit – with over two thirds (68%) receiving help from family members, while almost three fifths (57%) received help from friends – which TSB’s Craig Calder says is an ‘increasing trend.’

To get on the ladder, almost two fifths (38%) had delayed major purchases; limited socialising (37%) and took on a second job (37%).

On average, polling showed that first time buyers saved for almost three (2.95) years; with those in Wales taking the longest to save up (3.39 years) and those in the East Midlands saving up the quickest (2.56 years).

Financial impact post-purchase

On average, first-time buyers were paying £960 a month in rent prior to purchasing their home.

As a result of buying their first home, 45 percent felt financially more secure. Almost two fifths (39%) felt relieved.

 TSB customer data: Deposit, Age and Mortgage Terms

TSB customer data also shows that first time buyers are taking out 31-year terms on average – down from 32 in 2024. The average deposit size in the UK is 18.9 percent – with London the highest, at 23 percent, compared to Wales (13%).

Overall, the average age of first-time buyers is 32, up from 31 in 2024. The regions with the oldest first-time buyer age are London (34), the South East (33) and East Midlands (33). At the other end of the scale, Yorkshire & The Humber has the youngest average age, at 30.

Craig Calder, Director of Secured Lending, TSB, said:  “It’s clear that compromise is key to getting on the housing ladder in a preferred location – with most first-time buyers forgoing a dream home but feeling relieved, and more financially secure having made the move.

 “Many made sacrifices to meet their deposit targets – such as moving in with parents, and taking a second job. To secure the best deal for your housing and affordability needs, do speak with a broker, or your bank.”

Notes to editors 

Censuswide surveyed 1,006 first-time buyers who had bought a property in the past year. Survey took place between 25^th-29^th July 2025.

TSB customer data relates to H1 year on year.

TSB customer data

Average deposit is calculated as the sum of deposits / sum purchase prices within each region

Advice from TSB’s Secured Lending Director, Craig Calder: Practical steps for buying your first home to becoming mortgage free

Craig Calder, Secured Lending Director at TSB, shares his practical steps to help you navigate the mortgage maze – from getting on the property ladder to one-day becoming mortgage free.  

Buying your first home is a major life achievement, but it’s also the start of a decades-long financial commitment. And with so much information out there, how do you really know that you’re getting the best deal for you?

Many lenders are now offering more flexible products, smarter tools and enhanced support to meet the needs of even more customers. So whether you’re working towards that first step onto the property ladder or making the last payment to become mortgage free, here are a few practical tips to help you on the way:

Getting ready to buy:

• Know your numbers – look at your income and outgoings and make a realistic plan for how much you can save towards a deposit and by when.

• Check your credit score – try not to miss any payments, clear off any debt where possible as this may help with both affordability and the amount you can borrow, and avoid new credit applications. It’s also worth checking you’re registered on the electoral roll, as it can have a negative impact on your score if you’re not.

• Get a mortgage agreement in principle – with many lenders, this doesn’t impact your credit file and will give you a rough idea of what you can borrow based on your current income and credit history.

• Do your research – use house comparison sites to monitor the market and find the right location, price and size of property for you and your budget. Be prepared to compromise to make sure you’re able to balance paying your mortgage with living comfortably.

Choosing the right mortgage:

• Talk to your bank or mortgage broker – by speaking to an expert, you can access more personalised guidance and will have the opportunity to ask any questions to weigh up your options, like considering shared ownership, guarantor or a concessionary mortgage. For example, TSB offers renters with a 5% deposit the opportunity to get a 5% discount on the house purchase price when they buy from their landlord. 

• Decide whether a fixed or variable rate is right for you – with a fixed rate, you’ll have set, monthly payments that don’t fluctuate over time, while variable or tracker rates can go up or down, usually in line with the Bank of England base rate.

• Consider the total cost, not just the rate – make sure to take into account any fees (like Stamp Duty, arrangement fees, valuation fees or legal fees) and build that into your budget.

Managing your mortgage:

• Remortgage regularly – review your deal every 2 to 5 years to make sure you are getting the best rate and are not overpaying on interest if you don’t have to.

• Overpay if you can – many lenders will let you overpay by up to 10% a year without any additional costs or penalty. Even small monthly overpayments can knock years off your mortgage term and save thousands in interest.

• Reassess at key life stages – marriage, children or even career changes can all impact your financial position. Remortgaging, switching products and extending or shortening your term can help match your mortgage to your financial goals, and speaking to your bank or mortgage broker at these moments can help you get the best advice.

Becoming mortgage free:

• Request a redemption statement – when you are ready to clear the balance, ask your lender for a final figure, including any early repayment fees or admin charges.

• Update your property records – you can do this with the Land Registry and may even be able to redirect your old mortgage payment into savings or investments.

• Enjoy mortgage freedom!

The TSB First-Time Buyer Survey’s detailed insights capture the realities of today’s housing market, including buyer sentiment, mortgage terms, and deposit pressure.