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

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


Mortgages – From 0.99%
Tax – 9 Tax saving guides
Free LED bulbs – worth £300-£500
Energy – Save up to £500
Broadband-TV – Award winning
Make Money – Earn £250-£2000pm


Written by: Houseladder