Open Property Group, one of the UK’s leading professional house buyers, has raised concerns over the ongoing affordability issues faced by aspiring homeowners, citing the continued disparity between property values and average incomes.
The company recently analysed the steady rise in house prices across England and found that, over the past 12 months, all regions—except London—have seen at least a 3% increase in property prices.
While average annual salaries across England have risen by 5.6% over the same period, the question remains whether this income growth is enough to make homeownership more attainable for both new and existing buyers.
- Yorkshire and the Humber – average house prices increased by 6.5%
- North East – average house prices increased by 5.6%
- North West – average house prices increased by 5.4%
- East Midlands – average house prices increased by 4.2%
- West Midlands – average house prices increased by 4.1%
- South West – average house prices increased by 3.8%
- South East – average house prices increased by 3.4%
- East of England – average house prices increased by 2.9%
- London – average house prices decreased by 0.1%
Jason Harris-Cohen, Managing Director of Open Property Group, which assists UK homeowners in selling their properties quickly in any situation, commented:
**“While salaries are growing faster than house prices in some areas, affordability remains a challenge for many aspiring homeowners due to the persistent gap between income and property values.
“Open Property Group examined the ongoing rise in house prices across England, revealing that every region experienced growth over the past year, except London, where prices slightly decreased. House price growth in the Northern powerhouse regions continues to exceed those in the South, East of England and London and yields still look fairly attractive based on lower house prices in the Northern regions.
“Annual salaries increased by 5.6% overall, outpacing house price growth in certain regions like the North East (5.6%) and the North West (5.4%). However, in areas like Yorkshire and the Humber, where house prices rose by 6.5%, affordability remains constrained.
“Although wage growth in the private sector (6.0%) and public sector (4.1%) has been notable, the increasing cost of homeownership continues to outpace the budgets of many. The question remains: how much more can salaries grow to make owning a home truly affordable across the country, whilst house prices continue to grow broadly comparably?