A rise in home affordability throughout the UK’s cities could spell good news for individuals looking to secure a mortgage.
According to the Lloyds TSB Affordable Cities Review, this level has reached a nine-year high for urban centres across the nation, with the average price of a dwelling in major metropolises now standing at £173,202.
This is around 5.5 times the gross annual average and represents the lowest ratio since the 5.3 recorded in 2003.
Indeed, the figure is markedly below the 7.2 mark posted in 2008 and notably down on the 5.7 seen just 12 months ago.
Suren Thiru, housing economist at Lloyds TSB, said: “The improvement in housing affordability within many of our major urban conurbations has been significant during the past few years and reflects the decline in house prices over the period.”
However, Mr Thiru pointed to a clear geographical divide on the matter, with all 16 of the most affordable properties for mortgage applicants being located in the north – with Salford sitting top of the list – while 15 of the least attainable areas are positioned in the south.
