Average house prices up 94%

Published on 18/08/2012 14:44

AVERAGE house prices have risen 94 per cent over the last ten years, while wages have grown just 29 per cent over the same period, according research from the National Housing Federation.

House prices have almost doubled from £121,769 in 2001 to £236,518 in 2011, while the average wage has grown from £16,557 to £21,330.

The deposit required to obtain a mortgage has risen by 386 per cent, meaning that a deposit for a 90 per cent mortgage has grown from nine months’ salary to almost three years.

National Housing Federation chief executive David Orr says: “These shocking figures show that it is getting increasingly harder for millions of people to buy a home of their own in the current climate. With the gap between income and house prices growing ever wider, people can often feel like they have to win the lottery to be able to buy in their local area.”