Mapped: The UK areas most popular with first-time buyers
Manchester has become the UK’s leading first-time buyer hotspot outside London, according to analysis by a major mortgage lender.
Lloyds Bank found that 70.2 per cent of all purchases in Manchester were made by first-time buyers in 2025, up from 67.2 per cent the previous year.
The banking giant’s report highlights relatively affordable housing, high job opportunities, major regeneration projects and a well-connected transport network as some of the main reasons to attract young buyers
While the average first-time purchase property in Manchester costs £230,090 (around £25,000 less than the national average across the UK of £254,920), those getting onto the property ladder in the city still face paying an average of £38,110 more than their counterparts in the wider North West region.
According to the report, the city is also home to a wide range of property types, from modern apartments in central areas to traditional terraced houses in the suburbs.
The researchers also noted the city’s significant economic growth and business investments that have created new employment opportunities, particularly in the technology, finance and media sectors.
Sandwell in the West Midlands came second on Lloyds’ list, accounting for 69.7 per cent of the first-time buyers’ market.
In Scotland, Glasgow leads all localities with 61.2 per cent of home purchases being made by first-time buyers, with an average property price of £182,910.
Meanwhile, Rhondda Cynon Taf stands out as Wales’ most popular destination, with first-time buyers making up 57.9 per cent of the local housing market, with an average price of £156,035.
Although large towns and cities generally had the largest numbers of first-time buyers, the fastest-growing markets were generally located in smaller towns and more rural settings.
The cathedral city of Worcester was found to be the fastest-growing area for first-time homebuyers in 2025, accounting for 58.7 percent of the local housing market in 2025; This rate marks a sharp increase from 40.6 percent in 2024.
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 and more people casting their net wider to find places that fit both their lifestyle and budget.
“This flexibility can literally open more doors. Manchester has become a magnet for those seeking modern city living, while increasing demand for Worcester’s more historic charm shows how quickly new and unexpected hotspots can emerge.”
Lloyds used data from its banking group, which includes Halifax and Bank of Scotland, to make its calculations.
