South East average house prices now £312,242 – nearly 11 times the local average salary

The National Housing Federation’s Home Truths 2015/16 Report has shown that South East house prices now top the table outside London, with an average house in the region now costing £312,242 – nearly 11 times the local average salary of £29,037.

This is mirrored in the rental market, where typical rents have reached £864 per month – taking up more than half of tenant’s incomes in parts of the region.  This increase in unaffordability has been driven by a drastic shortfall in supply, with 19,810 fewer homes being built that needed to meet demand in the last year alone.

Top five most unaffordable areas in the South East

Area Average House Price Average Salary Ratio house price to salary
South Buckinghamshire £645,637 £33,935 19.0
Oxford £425,389 £25,536 16.0
Elmbridge £681, 856 £43,508 15.7
Chichester £384,564 £25,239 15.2
Chiltern £519,791 £37,092 14.0

Excerpt of article kindly shared by National Housing Federation. Read full article.

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