Q2 first-time buyer stats released

July 26, 2026 by Brendan O'Neill

Surveys and Statistics

The number of mortgage applications from first-time homebuyers decreased during the second quarter of this year.

This is the takeaway from figures released by Yorkshire Building Society. They show a drop of 9.1% in applications from first-time buyers during that quarter, in comparison to the same period in 2025. From 30th March to 28th June, there were a total of 119,749 mortgage applications from those buying for the first time. This period last year saw 131,682 applications from that segment of the market.

The building society is claiming that the drop-off comes in the wake of a lengthy spell in which first-time buyer applications held up. They had done so despite several factors against them – including ongoing affordability issues and the Stamp Duty changes.

Application numbers throughout the first quarter were resilient. What the fall in Q2 indicates is that people may be holding off on buying a first home to see if interest rates calm down. Rates have been impacted by matters outside of the UK, such as the conflict between Iran and the US.

Max Shepherd works for Yorkshire Building Society as a group economist. He told Financial Reporter:

“The fact that first-time buyers and home-movers have all seen declines suggests this is part of a broader softening in consumer sentiment rather than a fundamental change in the underlying appetite for homeownership.”

The current rate volatility means that mortgage advisors with CeMAP training will be kept busy by product transfers and remortgaging.