Zoopla research also shows least affordable locations, where homes cost as much as 15 times the average two-income household earnings
Shildon in County Durham emerged as Britain’s most affordable location for homebuyers, with a typical property costing just over one year’s combined earnings for a two-income household.
According to analysis by online property portal Zoopla, median values in the town stand around £73,900, substantially below the national average where prospective purchasers typically require 4.4 times their gross annual income to acquire a property—a marginal improvement from 4.5 times the previous year.
The research, which examined the relationship between house prices and local earnings across the UK, reveals pronounced regional distinctions. Scottish towns constitute seven of the 10 most affordable markets, with the remaining three positions taken by North East settlements.
On the flip side, eight of the 10 least affordable towns are situated in the South East, emphasising the stark polarisation between regions. Beaconsfield in Buckinghamshire was identified as Britain’s least affordable town, with properties commanding 15.25 times average combined earnings—approximately £1.11 million for a median-priced home. Gerrards Cross and Esher, similarly located in the South East near London, present comparable challenges. These areas command premium valuations on account of their proximity to the capital and rural surroundings.
Even within Southern regions, affordability remains constrained. Dover in the South East and Cinderford in the South West, respectively the most accessible markets in their regions, still require prospective purchasers to allocate over 3.5 times their combined salary. This threshold presents particular difficulties for single-income households seeking property in Southern England. Property acquisition costs contribute significantly to escalating rental markets nationwide.
Within London, housing costs relative to earnings fluctuate considerably. Tower Hamlets presents the capital’s most accessible market with a ratio of 4.97, reflecting elevated local salaries and considerable flat inventory. Nevertheless, affordability in Tower Hamlets remains four times more challenging than Britain's most economical towns such as Shildon.
Most of London’s affordable boroughs concentrate in Outer London. However, three Inner London areas—Tower Hamlets, Southwark and Lambeth—constitute notable exceptions, where above-average earnings and substantial flat supplies moderate price-to-earnings ratios.
“Homes are most affordable across Scotland and the North East, but within these regions are pockets where affordability is a challenge,” said Richard Donnell, executive director at Zoopla. “For those looking to buy in the South, there are areas which offer reasonably priced homes compared to local incomes, but there are large areas where homes are only affordable to those on higher incomes or with larger deposits.
“The affordability of home ownership and the cost of moving are big considerations for those planning their next move. The days of most people moving within five miles of where they live are over. We can see that a growing number of buyers are having to look further afield to find better value for money and they need the tools to make informed buying decisions.
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