Since 2000 the deposit needed by first-time buyers has also increased from £9,894 to £23,967, which is equivalent to 76 per cent of average earnings, compared to 42 per cent in 2000.
Halifax research found that a typical first-time buyer was unable to afford a semi-detached property in 87 per cent of towns in 2005, compared to 41 per cent of tows in 2002. Terraced properties were unaffordable for first-time buyers in 50 per cent of towns in 2005 on this basis, compared to 28 per cent of towns in 2002.
Nine of the 10 least affordable areas are in London and the South East. The least affordable town in the UK is Gerrards Cross in Buckinghamshire, where the average property price is 17.8 times the average income of a first-time buyer.
The most affordable town is Nelson in Lancashire with an average property price 3.3 times higher than a first-time buyerÂ’s average income.
Other affordable towns include Lochgelly in Scotland, Gosport in Hampshire, Kelty in Scotland and Ebbw Vale in Wales.
