The average price of a home in the UK is now six times the average salary, new research has revealed.
According to emoov, which compared the latest figures from the Land Registry with wage data from the Office for National Statistics, that leaves prospective buyers with a shortfall of £6,111 between the current average wage and the amount you need to be earning for the average mortgage approval of 4.5 times your salary.
In the Yorkshire and Humber region house prices are slightly higher than the national average at 6.13 times the average salary.
Not surprisingly, London is where the gap between house prices and wages is most extreme, with properties here coming in at 12.05 times average earnings, with some districts in the city climbing as high as 17 times the expected wage.
With such a big gap between earnings and property prices, it’s little wonder that research from the Local Government Association (LGA) earlier this year found that fewer under 25s are buying properties now than they were 20 years ago.
LGA figures show that just 20 per cent of those under the age of 25 owned their home in 2016, compared to 46 per cent of this demographic 20 years ago.
And with the cost of living continuing to rise, it’s likely that more young people and first-time buyers will have difficulty getting on the property ladder in the coming years.
If you’re a first-time buyer looking for estate agents in Hull, contact us today to find out how we could help you get on the property ladder.