"[W]ith FTBs paying an average of £72,435 in Inverclyde, against London's £924,576"
While first time buyers are still generally paying less for their first home than the average house price, the price of properties bought by FTBs has increased 2.9% in the last 12 months, lettings and estate agent Barrows and Forrester has found.
Their research has revealed which areas of the property market are currently the most first-time buyer friendly based on current price, annual change and cost compared to the broader average in each area.
The research shows that both the average price paid by FTBs and the average price paid across the broader market have both increased by 2.9% in the last year. However, at a current average of £198,513, FTBs are still getting on the ladder at a lower cost to the wider average of £238,414.
Some areas have a larger disparity in the price paid by FTBs and the average house price for the area; for example, in Surrey, the average FTB pays 25.3% less than the average local house price, and in Scotland and Wales Perth & Kinross (-26.1%) and Monmouthshire (-22.3%) are the best relative areas for those joining the property ladder.
There also exists a large gap between the average price paid by first time buyers across the country - with FTBs paying an average of £72,435 in Inverclyde, against London's £924,576 and - next highest, with a considerable drop - Surrey's £335,933.
Managing director of Barrows and Forrester, James Forrester, commented:
“Buying your first home is a huge mile marker in life, and finding the right property can be a daunting process.
"For many, affordability will be the deciding factor and the price paid by first-time buyers varies dramatically across Britain, with the majority of areas seeing this cost of getting on the ladder increase over the last year.
"However, while Scotland is home to the greatest wealth of first-time buyer affordability, those house hunting at the other end of Britain are unlikely to up sticks and move that far from their desired area.
"The good news is that all but one area of Britain is home to a lower price paid by first-time buyers when compared to the wider market. With this relative discount ranging from around five to 25 per cent. While first-time buyers may have a location in mind, expanding their search to the surrounding areas could mean a much more affordable property or a more significant saving.”