UK houses are more affordable for first-time buyers

The number of towns now affordable to first-time buyers with cheap mortgages has reached its highest since 2003.

According to the Halifax First Time Buyer Review, the average house price paid by a first-time buyer in June 2011 was affordable for someone earning that area's average income in 48 per cent of all local authority districts LADs.

This compares with 40 per cent in 2010 and just six per cent in 2007 and is the highest proportion of housing affordable for first-time buyers since 2003.

However, the study did illustrate a stark north-south divide with 80 per cent of housing in the north of England found to be affordable to first-time buyers, compared to eight per cent seen in the south.

The latest Bank of Scotland First Time Buyer Review found that three-quarters of housing in Scotland is within the means of the average first-time buyer. 

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2011-08-08 15:52:14 © Moneyextra.com