Mad fer it! Why first-time buyers are flocking to Manchester… and Worcester

Manchester has become the UK’s most popular destination for first-time homebuyers as the northern city’s booming economy combines with cheaper homes to attract young professionals.

First-time buyers account for 70.2 per cent of all mortgaged homes bought across Manchester in 2025, Lloyds Banking Group said.

Property experts say buyers looking to get their first step on the property ladder are attracted to Manchester’s below-average property prices, job opportunities and the range of homes on offer.

Lloyds said the average first-time buyer property price in Manchester was £230,090, nearly £25,000 below the average first-time buyer price across Britain of £254,920.

Last year saw more people take their first step on the property ladder in Manchester than in any year since 2019, the findings found.

Dilraj Singh, director of The Manchester Estate Agent, told This is Money: ‘Manchester remains one of the most attractive cities in the UK for first-time buyers because it’s possible to get on the ladder without having to win the lottery.

But a less likely goal is to move up the rankings. Worcester has been named the fastest-growing first-time buyer market as buyers flock to the cathedral city known for its period charm.

While average property prices in Manchester remain below the UK average, they have increased rapidly in recent years.

The average temporary house price in Manchester was £258,000 in December 2025, up 5.7 per cent on December 2024, data published by the Office for National Statistics this month said.

This was higher than the 4.5 per cent increase in North West England over the same period.

The research said that if a first-time buyer in Manchester paid £230,090 for a property, the 5 per cent deposit would be £11,505.

Lloyds, again using the example of a first-time buyer buying in Manchester, said the monthly mortgage repayment would be around £1,136, or around £200 less than the city’s average private rent of £1,337.

With London excluded from the mix, Sandwell in the West Midlands was the second most popular destination for first-time buyers in 2025.

On average, first-time buyers paid £185,235 for a property last year; This is well below the national average.

Across all mortgaged homes, first-time buyers made up 69.7 per cent of buyers in Sandwell in 2025.

Birmingham, Luton, Thurrock and Leicester have also proven popular with first-time shoppers in 2025. Across all, first-time shoppers accounted for more than 60 percent of all purchases last year.

Coventry, Harlow, Stevenage and Salford were among the top 10 locations for first-time shoppers last year.

In Coventry, the average spend by first-time homebuyers on a home was £193,022, while in Salford it was £201,682.

Manchester has been a booming city in recent years, just as London has struggled

Worcester’s fastest growing first time buyer market

The highest concentrations of first-time shoppers are generally found in larger towns and cities, while the fastest-growing markets are generally found in smaller towns and more rural areas.

The cathedral city of Worcester led the way, with first-time buyers accounting for 58.7 percent of the local housing market in 2025, up from 40.6 percent in 2024.

Runnymede and other locations in East Hampshire also see the proportion of first-time buyers rising rapidly.

Beyond England, Glasgow had the highest share of first-time buyers from any local area in Scotland last year; 61.2 per cent and the average property price was £182,910.

The most sought-after hotspot in Wales was Rhondda Cynon Taf; Those taking their first steps onto the property ladder here made up 57.9 per cent of the local housing market in 2025, paying around £156,035 for a home.

Amanda Bryden, mortgage manager at Lloyds, said: ‘Choosing your first home is a huge moment.

‘Affordability is the number one priority for many first-time shoppers, and we’re seeing more people casting their nets wider to find places that suit both their lifestyle and style. budget.

‘This flexibility can literally open more doors. While Manchester is a magnet for those looking for modern city living, rising demand for Worcester’s more historic charm shows how quickly new and unexpected hotspots can emerge.’

Labor is reportedly mulling a successor to Help to Buy to support first-time buyers amid a sharp slowdown in new build sales.

‘The government has pledged to build 1.5 million new-build homes across England by the end of parliament.