FIRST-TIME buyers need to borrow more than six times their salary to get on the property ladder, new figures reveal.
Brighton ranks fifth in a list of the most expensive towns and cities to buy a home in research compiled by Mojo Mortgages.
Homes in the city typically cost more than £462,035, compared to the national average of £287,830.
With residents earning an average of £30,946 a year, a couple who had saved a 15 per cent deposit would have to borrow 6.35 times their combined salary for a mid-market home.
Eastbourne also made the list of top 20 most expensive locations, with first-time buyers needing to borrow just over five times their income to purchase a property.
Top 20 most expensive towns and cities to buy property
- Bath
- Oxford
- London
- Poole
- Brighton
- Guildford
- Watford
- Slough
- Exeter
- Cambridge
- Bournemouth
- St Albans
- Canterbury
- Reading
- Bristol
- Stevenage
- Eastbourne
- Stratford-upon-Avon
- Cheltenham
- Maidstone
All but one of the top 20 were located in and around the south of England - the only exception being Stratford-upon-Avon.
Hull was the most affordable in the list, with couples needing to borrow 2.3 times their joint income to get on the property ladder.
CEO and co-founder of Mojo Mortgages Richard Hayes said the findings were further evidence that first-time buyers are being squeezed out of the cities where they grew up or work.
"First-time buyers could now borrow as much as seven times their salary – but this would be a big stretch for many couples who would struggle to buy a property in Brighton.
"Lack of affordable housing has repercussions, not only for the individuals involved but the wider economy and community if workers in lower-paid jobs are priced out of the market.
"Enabling people to borrow more might help them onto the property ladder but much will depend on their circumstances as lenders and brokers must apply strict affordability checks. It’s also important that buyers weigh up whether the location offers the best quality of life for them."
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