Picture the “typical” first home buyer and you probably imagine someone in their mid to late twenties, maybe fresh off a few years of share housing, finally ready to sign a contract. That picture is out of date. These days, the average first home buyer in Australia is in their mid-thirties, and it’s becoming increasingly common for people to buy their first place in their forties or even fifties. 

If that’s you, and you’ve started wondering whether you’ve somehow missed the boat, you haven’t. But it’s worth understanding why this shift is happening, and what it actually means when you sit down with a lender. 

The numbers behind the shift 

According to Westpac, the average age of Australia’s first home buyers is now 34. That’s a long way from the 1970s, when most people were buying their first home in their mid-twenties, and it’s part of a steady climb that’s been going on for decades. Various data sources put the current average anywhere from 34 to 37, depending on how it’s measured, and there’s been a notable jump in the number of first home buyers in their forties and fifties too. 

It’s not hard to see why. The average owner-occupier home loan reached $735,000 nationally in March 2026, and $860,000 in NSW. This change means, saving a deposit is taking longer than it used to, especially with rents also climbing and eating into what people can put aside. Add in that people are partnering up later, having children later, and changing careers more often than previous generations, and the whole timeline for buying a first home has shifted to the right. 

None of this is a personal failing. It’s a structural reality of the current market, and lenders, brokers and financial advisers are all seeing it play out with their clients every day. 

So, am I too old to get a home loan? 

Here’s the good news: there is no legal maximum age for taking out a home loan in Australia. Under the Age Discrimination Act, lenders cannot reject your application purely because of your age. So no, you are not “too old.” 

What does happen, though, is that once you get into your mid-forties and older, lenders start paying closer attention to something called an exit strategy. This is simply their way of confirming you have a realistic plan to repay the loan, particularly if the loan term would stretch past the age most people retire, generally somewhere between 65 and 67. 

A rough guide to what lenders tend to look at by age: 

• Mid-thirties to mid-forties. Lenders will factor in your profession and likely retirement age, but there’s usually not much extra scrutiny at this stage. 

• Mid-forties onward. You may be asked for superannuation statements or a clear plan for how the loan gets paid off if the term runs into retirement. 

• Fifties and beyond. Lenders will often want to see a concrete exit strategy before approving a full 30-year term, and may prefer a shorter loan term instead. 

Common exit strategies lenders will accept include downsizing to a smaller property later on, selling other assets like an investment property or shares, or using superannuation as a lump sum or ongoing income once you retire. What generally won’t cut it is something vague or uncertain, like an inheritance you’re hoping for or a bonus that hasn’t landed yet. 

The practical upshot is that older first home buyers aren’t locked out, but they usually do need their paperwork and their story a little more buttoned up before they walk into a lender. 

What this means if you’re buying later 

If you’re in your late thirties, forties, or older and buying your first home, a bit of extra preparation goes a long way: 

• Get pre-approval early. It gives you a clear number to work with and shows you’re a serious, organised buyer. 

• Have your exit strategy ready before you need it, not after a lender asks the question. 

• Consider a shorter loan term if it makes your position stronger, even if the repayments are a bit higher. Being able to show the loan is paid off well before retirement can make a real difference to how a lender views your application. 

• Get your super and other assets in order so you can show a clear, credible plan for the years after you stop working full time. 

None of this needs to be worked out alone. This is exactly the kind of situation where a good mortgage broker earns their keep. They know which lenders are genuinely comfortable with mature-age borrowers and which exit strategies they’ll accept, and they can save you from wasting time on an application that was never going to fly with a particular bank. 

It’s also worth having a proper conversation with a financial adviser about how a home loan fits into your broader retirement picture, and if you’re weighing up big life decisions around buying later in life, a bit of coaching support can help you think it through with a clear head rather than just reacting to the market. 

And once you’ve found the right place, don’t skip the practical side of the purchase either. A thorough pest inspection can save you from an expensive surprise down the track, and getting a conveyancer or solicitor across the contract before you sign protects you from the kind of fine print that catches out even experienced buyers. 

The bottom line 

Buying your first home later in life is now the norm, not the exception, and the system is set up to accommodate it, provided you can show a clear plan. If you’re not sure where you stand or what a lender will want to see, our team can talk you through it, from the finance and the numbers right through to the legal and building checks that come after you find the right place. There’s no such thing as starting too late. There’s just starting prepared. 

Sources

Westpac data: average first home buyer age 34; ABS data: average owner-occupier loan $735,000 nationally, $860,000 in NSW, March 2026

Savings.com.au. Home Loan Maximum Age Limit in Australia. https://www.savings.com.au/home-loans/what-s-the-maximum-age-for-a-home-loan 

Canstar. Am I Too Old For A Mortgage? https://www.canstar.com.au/home-loans/too-old-for-mortgage

Your Mortgage. Can you get a home loan as an older or senior Australian? https://www.yourmortgage.com.au/compare-home-loans/can-you-be-too-old-to-apply-for-a-home-loan