North-South Price Divide for First Time Buyers

New research by the Halifax has revealed a stark difference between the affordability of first time buyers in the UK.

With the UK average resting at 29 years old, the Halifax noted an impressive 10 years difference between first time buyers buying in the North than those investing in property in the South.

Yet, these figures are not that surprising when you consider the impact the recession has had on mortgage lending…

With lending criteria tighter than ever and property prices witnessing monthly fluctuations, getting onto the property ladder is a lot harder than it used to be.

Continuing in their research, the Halifax made the following discoveries about the ages of first time buyers:

• Selby (Yorkshire) recorded the youngest age of 25, whilst Harrow in North London saw the oldest at 34 years old
• North East, North West, Yorkshire and Wales average at 28 years old
• London and the South East average at 32

Commenting on these statistics, the Halifax believes that the house prices in these property locations is fundamental to this early affordability.

Offering property prices 25-40% lower than the UK average, and an earnings ratio of less than 4.0, first time buyers are finding it easier to buy in the North than in the South where they can expect to pay at least £224,000 for their first property investment.