The average price of houses in the UK has risen dramatically in the past few years. According to a recent survey by Halifax, the cost of buying a house in the UK can range from 5 times the annual salary of the buyer to 14 times the annual salary, depending on the city and location! Talk about expensive housing. If you are thinking of moving to the UK or buying a house in the UK, it is very important to consider affordability and average house prices. Check out this list of the UK’s most and least affordable cities to buy a house in 2021.
The most affordable cities in the UK to buy a house in 2021
1 Londonderry, Northern Ireland
Situated on the banks of River Foyle, Londonderry is known for its old walls that surround the city, making it one of the best examples of a walled city. Londonderry in Northern Ireland has actually been nominated as the most affordable city to live in the UK for the last 3 years. Here, the average price of a house is £155,917 whereas the average annual salary is £33,138, making the price to earnings ratio a mere 4.7 times.
2 Carlisle, North England
Carlisle is often called the ‘Great Border City’ and is known as the commercial, cultural and industrial hub of North Cumbria. Carlisle is actually the second most affordable city to live in, in 2021. Here, the average annual salary is £34,087 whereas the average price of a property is £163,232, which makes the price to earnings ratio 4.8 times.
3 Bradford, West Yorkshire
Bradford is known as the city that gave the world textiles! Bradford is actually the place where the industrial revolution boom started, making this city world-famous. In Bradford, the average price of the property is around £164,410 and the average yearly earning is £34,219. So, a buyer would have to pay around 4.8 times their annual salary to buy a house in Bradford, which is pretty affordable.
4 Stirling, Scotland
Who would not want to live in Scotland? If you are looking for a free property valuation in Stirling, get in touch with estate agents today. Known for its historic landmarks and gorgeous greenery, the city of Stirling is beautiful and affordable. The average price of a house in Stirling is £208,927 while the average annual earning is £38,744, so the price to earnings ratio works out to approximately 5.4 times.
5 Glasgow, Scotland
Another great city, Glasgow is known for its art nouveau architecture and rich history. Also, Glasgow is known as a cultural hub, because of various institutions such as the National Theatre of Scotland, the Scottish Ballet and the Scottish Opera. The price to earnings ratio in Glasgow is 5.4 times. Here, the average price of housing is £196,625 whereas the average annual salary is £36,205.
The least affordable cities in the UK to buy a house in 2021
1 Winchester, South East England
Winchester is actually one of the most sought-after cities in all of the UK and it has recently been named as the ‘happiest place to live in the UK’. Keeping up with the gold standard of living, the average price of property here is around £630,432. However, the average annual earning is £45,059 which makes the price-to-earnings ratio a whopping 14 times.
2 Oxford, South East England
Who doesn’t know and love the gorgeous city of Oxford? Earlier, Oxford was one of the most expensive places to live in the UK, but it has now come down to number 2. In Oxford, the average price of the property is £486,928 whereas the average annual salary is £39,220, making the price to earnings ratio 12.4 times.
3 Truro, South West England
Truro is known for its beautiful houses, good schools, chic cafes and exclusive boutiques. While it is a small city, the average price of property is pretty high. Here, the average price of a house is £356,788 while the average annual salary is £29,558, which means a buyer has to pay 12.1 times his or her annual salary to buy a home in Truro.
4 Bath, South West England
A picturesque city located in one of the wealthiest and poshest parts of England, Bath is considered a very prosperous city. The average annual salary in Bath is £39,508 whereas the average price of a property is £476,470, hence making the price to earnings ratio an enormous 12.1 times.
5 Cambridge, East Anglia
Cambridge in East Anglia is home to the world-famous University of Cambridge! The price of a house in Cambridge is approximately £482,300 whereas the average annual salary is around £40,492, so buyers would have to pay 11.9 times their annual salary in order to buy a house in Cambridge.
Are you looking to buy a house in the UK? Get in touch with estate agents in Beckenham today.