It’s a question that is asked time and time again by those who are looking to buy their first property. In a market where property prices continue to rise, many find themselves asking how much money does a first-time buyer in the UK need.
Well, the answer is fairly broad. Let’s face it, someone looking to buy their first property in London will have to shell out a lot more than someone looking to purchase real estate in the likes of Manchester or Liverpool.
Check out this handy first-time buyer guide to property investment…
A report from comparison website GoCompare has concluded that the average UK first-time buyer will need to take home an average salary of £50,000 per year in order to get on the property ladder.
High property prices means that the average wage is below the minimum to buy a property in 51 out of 65 UK cities.
The report shows a divide in the country when it comes to affordability. Property prices in London, the south and the south east are generally higher than the rest of the UK, making it more expensive for buyers to purchase property.
London by far requires the highest salary to buy. Buyers would need to earn £140,000 per year to buy a flat in the capital.
Blackburn has been ranked the most affordable place to buy. The report determines that a £14,000 salary could be enough to get a first-time buyer onto the property market. After Blackburn, Hull, Blackpool, Grimsby and Stoke-on-Trent are the most affordable areas.
Ben Wilson, home insurance expert at GoCompare commented: ‘Although owning a home may be achievable in places like Blackburn and Sunderland, in other parts of the country the rapid rise in property value and a growing urban population is pricing many of the British public out of home ownership.
‘London’s high prices are well documented, but it’s in other parts of the south of England that the gap between average salary and average house price is at its most alarming, with places like Brighton requiring a minimum household income of £180,000 to afford a detached house,’ Wilson added.