Santander UK has reported a sharp rise in applications from solo first-time buyers following changes to stress rate and loan to income criteria earlier this year.

New figures from the bank show that individual first-time buyer applications rose by 13% between June and October, compared with the first five months of the year.

The increase follows adjustments to affordability rules introduced in March and August, which have widened borrowing capacity for a portion of would-be homeowners.

Santander said that 2025 is on track to be the first year in five in which individual applicants consistently outnumber joint applicants. The shift comes 50 years after the Sex Discrimination Act enabled women to purchase property in their own name.

Women now account for 48% of all individual first-time buyers at Santander, up from 42% in 2015.

APPLICATION PEAKS AFTER POLICY CHANGES

The bank recorded its highest share of sole-applicant activity in April, when individual buyers made up 56% of all new applications. The rise followed Santander’s response to the FCA’s clarification on stress rates in March.

At the time, the lender estimated that changes to its policy could increase borrowing capacity by as much as £35,000 for some customers.

August marked another high point, with individual applicants accounting for 53% of the month’s activity. Santander had earlier adjusted its loan to income limits, and an example provided by the bank suggested that a sole buyer earning £75,000 and seeking a 25-year capital and interest mortgage could see their maximum borrowing rise from £267,000 to £300,000.

SHIFT IN MARKET DYNAMICS

The figures point to a growing confidence among would-be homeowners pursuing a mortgage alone, supported by incremental changes to affordability criteria. Santander said that the adjustments have opened the market to more buyers who may previously have struggled to meet stress testing requirements.

David Morris, head of homes at Santander UK, said: “We’ve seen a real shift in who’s driving the first-time buyer market. Where once joint applications dominated, more people are now stepping onto the ladder on their own.

“This year’s mortgage changes have helped to level the playing field for solo buyers, and the data shows that momentum has held firm.

“It’s clear that confidence among single buyers is growing as lending policy changes bring more of them closer to the homeownership dream.”