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First-time buyers priced out of region's housing market


11-25-2015

 

The average house in Yorkshire and northern Lincolnshire costs more than seven times the average salary

The average house in Yorkshire and northern Lincolnshire costs more than seven times the average salary Credit: Press Association

The rise in house prices in Yorkshire and northern Lincolnshire has outstripped the rise in wages, says a new report.

The National Housing Federation says the average worker in the region would need a 62% pay rise in order to afford a mortgage - that's the equivalent of an extra £14,538 per year. The association says that people need to be earning around £38,000 per year in order to obtain a typical mortgage in Yorkshire and north Lincolnshire.

£165997
the average cost of a home - more than 7 times the average salary.

According to the report, there is a housing crisis in the region which is wide and varied. In some areas a chronic shortage of homes has seen housing costs spiral out of reach of many families, while in other parts of the region communities are struggling in desperate need of jobs and regeneration.

Harrogate, Hambleton and Ryedale top the list as the most unaffordable areas to buy in the region, with York and Craven also making the list. In these areas, house prices are more than ten times the average salary.

£276744
average cost of a home in Harrogate
 
£24731
average salary in Harrogate

Meanwhile North Lincolnshire, Hull and Barnsley are the most affordable places to buy in the region - although house prices in these areas are still more than 5 times the average salary. Doncaster and North East Lincolnshire also made the list.

£136577
average house price in North Lincolnshire
 
£25241
average salary in North Lincolnshire

The report adds that people renting from the private market are also feeling the strain, spending an average of £535 on rent, more than a quarter of their monthly income.

The Home Truths 2015/16 report argues that that nowhere near enough homes are being built or being brought back into use in the whole of Yorkshire and the Humber to keep up with demand.

 

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