British cities are now more affordable, but income multiples remain crazy

first_imgThe scene is set for a mini property boom once Brexit is out of the way one way or another, latest house price data from Zoopla reveals.Although London remains crazily expensive with an average house price of £483,100 which is thirteen times the capital’s average salary, the portal says the affordability gap is narrowing within the UK’s most unaffordable cities, including the capital.Other more expensive cities where people are now more able to afford a home purchase or get on the property ladder include 12 cities where earnings are rising faster than house prices.These include Oxford, Cambridge, Bournemouth, Southampton and Bristol, Birmingham, Leicester, Nottingham, Sheffield and Glasgow where house price inflation has begun to slow significantly.The most notable of these is Birmingham where house prices have increased by 3.5% so far this year, half the growth rate it witnessed last year but still above the UK average of 2% year-on-year growth.“Although the likes of London, Oxford, Cambridge are at their most affordable levels in four years, the price to earnings ratio remains well ahead of the 20-year average,” says Richard Donnell, Research and Insight Director at Zoopla (left).“Some cities in the north of England and Scotland are more affordable now when compared to 2007 but, with more scope for future house price growth, the price to earnings ratio is set to rise slowly in the coming years.“Lower-priced cities in northern England are actually getting less affordable than their southern counterparts when you consider that the annual percentage growth in house prices is outstripping earnings growth.”  Birmingham Zoopla August 23, 2019Nigel LewisWhat’s your opinion? Cancel replyYou must be logged in to post a comment.Please note: This is a site for professional discussion. Comments will carry your full name and company.This site uses Akismet to reduce spam. Learn how your comment data is processed.Related articles Letting agent fined £11,500 over unlicenced rent-to-rent HMO3rd May 2021 BREAKING: Evictions paperwork must now include ‘breathing space’ scheme details30th April 2021 City dwellers most satisfied with where they live30th April 2021 Home » News » Housing Market » British cities are now more affordable, but income multiples remain crazy previous nextHousing MarketBritish cities are now more affordable, but income multiples remain crazyResearch by Zoopla shows incomes rising faster than house prices, but London’s stock is still 13 times more expensive than the average salary.Nigel Lewis23rd August 20190398 Viewslast_img read more