First-time buyer demand in cities soars - with one trendy Scottish city seeing a HUGE spike
Across Britain's 50 largest cities, demand among first-time buyers has risen by 16 per cent since 2015, Rightmove said.
This was at the expense of coastal towns, where the number of people looking to get on the property ladder flatlined thanks to soaring prices and poor connections.
However, Dundee in Scotland, a city with a coastal outlook, managed to buck the latter trend and saw the biggest spike in demand from first-time buyers in the last decade.
Rightmove's analysis compared demand from first-time buyers between January to May 2025 against the same period in 2015.
Its figures suggest first-time buyer demand in Dundee surged by 176 per cent in the last decade.
Dundee is Scotland's fourth largest city, and has been undergoing a rejuvenation in recent years thanks in part to its thriving arts, design and food scenes.
It is home to the University of Dundee, the Law conservation site, the V&A Dundee and attractions like Broughty Castle. The city has various shopping centres and a myriad of restaurants and pubs.
Kyle Anderson, managing director of McIntyre Properties in Dundee, told This is Money: 'This is a trend we have seen in recent years, given the level of investment and development in the city it has become a desirable place to live in many areas, but also remains relatively affordable compared to the rest of the country.
'There are different types of first time buyers as in any location, but many opt for the West End, as there are many traditional flats in this area which are close to the city centre. Others may go for some of the readily available former local authority houses a little further from the city centre as they are well-sized for couples, small families at a very affordable price point.'
While Dundee took the top spot for first-time buyer growth, Edinburgh saw the second largest rise in demand in the period, climbing 91 per cent.
Doncaster came in third place, with a 74 per cent increase in demand from first-time purchasers.
Liverpool and Plymouth took fourth and fifth place, with demand from first-time buyers rising over 70 per cent in both cities.
Glasgow, Preston, Winchester, Newcastle upon Tyne and Newport also performed strongly.
Only London failed to follow the city trend. Overall first-time buyer demand in London fell 7 per cent versus ten years ago, with higher asking prices a likely contributor., Rightmove said.
While most cities proved popular, on average, the number of future first-time buyers looking to move to popular coastal areas was 'completely flat' compared with ten years ago.
For many first-time buyers, proximity to work and public transport is key, as is affordability.
Colleen Babcock, Rightmove's property expert, said: 'We've seen a number of changes to the property market over the last ten years.
'Perhaps most notably is during the pandemic, when many people temporarily left cities and looked to the coast or countryside.'
She added: 'Comparing where we are now versus a decade ago, it looks like there's even more appeal from potential first-time buyers to live in cities, though the data does show that it can vary quite widely from city to city, and it will also depend how first-time buyer friendly a particular location is in terms of the type of homes that are available for sale.
'Coastal areas haven't seen the same level of growth as cities from this type of buyer, and again it may be partly due to the availability of suitable homes in these areas for first-time buyers as well as affordability.'
Mary Lou-Press, president of NAEA Propertymark, said: 'Coastal locations can offer a slower and more picturesque quality of life, compared to the vibrant fast-paced atmosphere of many cities.
'The latter can be appealing for younger people due to greater economic opportunities, cultural attractions, and diverse amenities.
'It's likely we will continue to see a shift in first time buyer activity within city centres as London remains increasingly desirable yet unaffordable for many people stepping onto the property ladder for the first time.
'This is likely pushing many to enter more affordable cities and it's unsurprising that Scottish cities are placed firmly at the top, as these can offer a blend of career opportunities, landmarks, and access to green spaces, all at a lower cost than many other major UK cities.'
Four homes for sale in popular cities
1. Two-bed house, Dundee, offers over £150,000
This two-bedroom semi-detached house in Dundee is on sale via Remax Real Estate Centre for offers over £150,000.
The property is being sold with extension plans which have already been approved by the local council.
The property is spacious and light throughout and has a handy attic space accessed via stairs.
The house has a large back garden with a decking area.
2. Two-bed flat, Edinburgh, offers over £200,000
This two-bedroom flat in Edinburgh is on sale via Yopa for offers over £200,000.
The third-floor flat is in a traditional tenement building with a secure entry system.
The freehold flat spans 622 sq.ft. and is in an excellent location close to the city centre, making it ideal for first-time buyers.
3. Two-bed house, Liverpool, offers around £159,150
This well-presented two-bedroom semi-detached house in Liverpool is on sale via Purplebricks for £159,150.
The house would suit first-time purchasers or those with a growing family.
The immaculate property spans around 792 sq. ft. and has a spacious front-facing living room. The ground floor also has a conservatory and utility room.
The property has paved low-maintenance gardens at both the front and back.
This is a house which has been well-loved and looked after by its owner.
No stress: The Liverpool house has a low-maintenance garden to the rear and front
4. Two-bed house, Doncaster, offers in region of £155,000
This two-bedroom semi-detached house in Doncaster is on sale via Whitegates for offers in the region of £155,000.
The house, spanning around 807 sq ft, is located in a popular residential area and benefits from off-street parking.
The property has a spacious living room, modern kitchen and a generous garden perfect for relaxing or entertaining in.
Ready to go: The kitchen in the Doncaster property is pristine and ready to use
Restful: The property in Doncaster spans more than 800 sq ft
How to find a new mortgage
Borrowers who need a mortgage because their current fixed rate deal is ending, or they are buying a home, should explore their options as soon as possible.
Buy-to-let landlords should also act as soon as they can.
Quick mortgage finder links with This is Money's partner L&C
> Mortgage rates calculator
> Find the right mortgage for you
What if I need to remortgage?
Borrowers should compare rates, speak to a mortgage broker and be prepared to act.
Homeowners can lock in to a new deal six to nine months in advance, often with no obligation to take it.
Most mortgage deals allow fees to be added to the loan and only be charged when it is taken out. This means borrowers can secure a rate without paying expensive arrangement fees.
Keep in mind that by doing this and not clearing the fee on completion, interest will be paid on the fee amount over the entire term of the loan, so this may not be the best option for everyone.
What if I am buying a home?
Those with home purchases agreed should also aim to secure rates as soon as possible, so they know exactly what their monthly payments will be.
Buyers should avoid overstretching and be aware that house prices may fall, as higher mortgage rates limit people's borrowing ability and buying power.
What about buy-to-let landlords
Buy-to-let landlords with interest-only mortgages will see a greater jump in monthly costs than homeowners on residential mortgages.
This makes remortgaging in plenty of time essential and our partner L&C can help with buy-to-let mortgages too.
How to compare mortgage costs
The best way to compare mortgage costs and find the right deal for you is to speak to a broker.
This is Money has a long-standing partnership with fee-free broker L&C, to provide you with fee-free expert mortgage advice.
Interested in seeing today's best mortgage rates? Use This is Money and L&Cs best mortgage rates calculator to show deals matching your home value, mortgage size, term and fixed rate needs.
If you're ready to find your next mortgage, why not use L&C's online Mortgage Finder. It will search 1,000's of deals from more than 90 different lenders to discover the best deal for you.
> Find your best mortgage deal with This is Money and L&C
Be aware that rates can change quickly, however, and so if you need a mortgage or want to compare rates, speak to L&C as soon as possible, so they can help you find the right mortgage for you.
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