County Durham stands out as a beacon of affordability in the current UK property market. The town of Peterlee, in particular, is leading the charge with its remarkably low house price to income ratio. This ratio is a critical metric used to assess affordability, comparing the average house prices to the average incomes in an area.
In Peterlee, the average house price is a modest £106,843, set against an average income of £26,178. This results in a ratio of just 3.9 times the average income. Such a low ratio is rare in today’s market and signifies an exceptional opportunity for first-time buyers and investors alike. The fact that the two runners-up for affordability, Seaham and Stanley, are also in County Durham, reinforces the region’s status as a hotspot for budget-friendly property investment.
Liverpool’s Hidden Gems: Bootle and Blackpool
Moving westward, Liverpool’s Bootle emerges as the North West’s most affordable location. With an average property price of £135,422 and a ratio score of 4.5, it represents another attractive option for those looking to enter the property market without overstretching their finances. Blackpool follows closely, sharing the same ratio score but with a slightly higher average property price of £147,776. These areas offer a blend of affordability and potential for investment growth, making them enticing prospects for property seekers.
Understanding the Market Dynamics
Heather Staff, co-founder of Street.co.uk, offers insights into the current state of the property market. She notes that regions like the North East and North West are coping better with the rising costs associated with mortgages and living expenses. In these areas, housing markets are more accessible, and buyers find that their budgets stretch further.
Moreover, the North has seen fewer price reductions per listing, indicating a robust demand for properties in these regions. This trend suggests that investing in these areas might not only be cost-effective but could also offer a stable and potentially growing market.