Across Britain as a whole, the current average first time buyer house price is £193,701, some 28% cheaper than the current average price paid by former owner occupiers of £268,119, new research shows.
In England first time buyers are currently paying 27% less than those already on the ladder, with this gap marginally smaller in Wales at 26%, but in Scotland it is 31% less, according to the figures from estate agent comparison site GetAgent which analysed data from the Land Registry.
The best area for first time buyer affordability compared to the wider market is South Buckinghamshire where the average first time buyer is currently paying £392,277 compared to £688,749 across the rest of the market.
Elmbridge in Surrey is known to have high prices but when it comes to first time buyer homes at £396,225, the average is 42% less than other buyers in Elmbridge.
Woking has a gap of 42% between the price paid by first time buyers and the rest of the market, followed by Mole Valley and Surrey Heath both at 38%, then Horsham, Wycombe, Waverley, Clackmannanshire and Epping Forest all at 37%.
In addition to Clackmannanshire, East Dunbartonshire and Perth and Kinross with a difference of 36% are the top differences in Scotland while the biggest gaps in Wales is 33% in Monmouthshire, followed by Vale of Glamorgan and Newport both at 27%.
In London, Bromley and Richmond, both with a gap of 30% and Croydon at 29%, have the biggest differences while the City of London is the only area in Britain where first time buyers pay more at present, with a 3% difference.
‘Of course, first time buyers are always going to pay less, generally due to the size of the property and the fact they are a lot more willing to compromise on location and other property features in order to get that first foot on the ladder,’ said Colby Short, chief executive officer of GetAgent.
‘But first time buyer value isn’t just about the overall price of a home, it’s also how relatively affordable it is when compared to the wider area and while a £400,000 home may seem steep for first time buyers in some areas of Britain, in places such as South Buckinghamshire and Elmbridge it represents good value for money,’ he pointed out.
