North-south divide for first-time buyers ‘never been so clear’
House hunters in Yorkshire can get on the property ladder faster than other areas in the UK based on local salaries and property prices, new research claims.
A study by property and jobs search engine Adzuna, co-founded by former Zoopla chief operating officer Doug Munro, analysed the time it would take someone to save a 15% deposit for the average three-bedroom property in their area based on the average advertised pre-tax salary for each UK region, and the region’s average house prices.
Property hunters in the Yorkshire area would be first to accumulate the money required for a 15% deposit on a local property after 277 days, and could squirrel away a year’s rent in just 60 days, despite being one of the lower-earning UK regions.
Londoners need to wait longer to snap up a new home, despite having the highest average salaries, and would need to wait approximately two years and four months to save for a 15% deposit on a three-bedroom property.
This all of course assumes that buyers only want a three-bedroom property and can’t access smaller deposit mortgages or even use savings rates or investments to save for a bigger amount.
Munro said: “Never has the north-south divide been so evident.
“Far from being paved with gold, it seems the streets of London are now lined with unhappy house hunters, as real estate in the capital moves further and further out of reach for most of us.
“Comparatively, employees in the north, especially in Yorkshire, benefit from far lower property prices, and despite the salary gap between north and south, may well get on the property ladder far sooner.”
Region - Average Advertised Salary
London - £38,106
South East - £31,000
Scotland - £30,229
Eastern England - £30,124
South West - £29,562
West Midlands - £29,478
Wales - £28,977
Yorkshire & The Humber - £28,903
North West - £28,463
North East - £28,313
East Midlands - £28,184
Time to save 15% deposit for 3-bed house
Region, Date earned and Days to earn
Yorkshire and the Humber, 5 October 2017, 277 days
Scotland, 23 October 2017, 295 days
North East, 27 October 2017, 299 days
Wales, 31 October 2017, 303 days
North West, 18 November 2017, 321 days
West Midlands, 28 December 2017, 362 days
East Midlands, 12 January 2018, 377 days
South West, 1 June 2018, 519 days
Eastern England, 24 August 2018, 603 days
South East, 20 October 2018, 660 days
London, 9 May 2019, 859 days
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