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Revealed: the top 10 UK cities for first-time buyers
Research from estate agents Savills, shared exclusively with Guardian Money, has identified the UK's top 10 cities for first-time buyers, reflecting a decade-long shift in where young workers choose to rent, save and eventually buy. The trend away from London is driven by soaring costs, with the average deposit for a first home in Greater London now around £130,000, prompting graduates and early-career workers to weigh housing costs alongside job prospects when choosing where to settle.
The rankings assess cities on flat price-to-income ratios, rent-to-income ratios and population growth, favouring places with strong local economies and vibrant lifestyles alongside affordability. Stoke-on-Trent tops the list with the best affordability, boasting an average flat price of £88,448, average annual earnings of £35,079 and a price-to-income ratio of just 2.5, alongside strong transport links to London and Manchester. Experts note this represents a "weakening" rather than reversal of London's dominance, as decades of underinvestment in housing supply relative to the capital's growing population have made it progressively harder to buy there.
– Savills has ranked the UK's top 10 cities for first-time buyers based on affordability and job prospects – Rising London deposits (around £130,000) are pushing young buyers towards regional cities – Stoke-on-Trent ranks first, with a flat price-to-income ratio of just 2.5
Explained simply
Savills estate agents has researched and ranked the UK's most attractive cities for first-time home buyers, assessing them on property affordability, rental costs and job prospects. The study aims to help young people understand where their purchasing power is strongest as they save to buy their first home.
London property has become increasingly costly, with deposits for first-time buyers now averaging around £130,000. At the same time, many graduates and early-career professionals are looking to regional cities where property prices relative to local wages are more favourable.
The research reflects a decade-long trend of young people settling in regional cities rather than London. This shift highlights how housing costs in the capital have become a significant barrier when compared to income levels in other parts of the UK.
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