X
X
Where did you hear about us?
The monthly magazine providing news analysis and professional research for the discerning private investor/landlord

Coastal Areas See Biggest Affordability Decline

New affordability analysis from Rightmove has revealed that areas by the coast have seen the biggest decline in first-time buyer affordability during the pandemic, as strong house price growth has outpaced the change in local salaries.

Over half of the top 10 areas to see first-time buyer affordability decline are close to or by the coast, with Adur in West Sussex topping the list. The average asking price for a first-time buyer type home in Adur is now 11.6 times the average salary for the area, up from 8.7 times before the pandemic.

Hertsmere in Hertfordshire is second, where first-time buyer average asking prices are now 11.8 times the average local salary, compared with 9.6 times in 2019. Richmondshire in North Yorkshire is third, where an average first home is now 8.2 times the local salary, up from 6.0 times.

The majority of areas to see affordability improve during the pandemic are in London or in traditional commuter areas, albeit only slightly. Affordability has improved in these areas due to local salaries increasing at a faster pace than house prices.

Average asking prices in Lambeth are now 11.8 times the average salary for the area, compared with 13.3 times pre-pandemic. In Ealing, it is now 10.3 times compared with 11.7 times three years ago, and in Reading it is now 6.8 times compared with 7.8 times.

Want the full article?

subscribe