£450m ‘lost’ old £1 coins could help nearly 20,000 home buyers onto the property ladder
By Bea Patel on 26 Oct 2017 in Industry News
As of the 16 October 2017, the old £1 coin is no longer accepted as legal tender. As a result, it’s being reported that £450 million has been lost.
What does this mean in property terms?
In the UK
Even in a market as expensive as the UK, if home buyers gathered all their old £1 coins, they could put down a ten per cent mortgage on 19,895 properties, or buy 1,990 properties outright at the current UK average of £226,185 – according to new research by eMoov.
In the Capital
In the capital’s most affordable borough, Barking and Dagenham, the missing pound coins could get 15,530 mortgage applications or it would buy 1,553 homes.
In the second most affordable borough, Bexley, with an average house price of £344,830, they could buy 1,305 homes or secure 13,050 mortgages.
Unsurprisingly, in London’s most prestigious borough – Kensington and Chelsea, the number falls dramatically. The average house price is £1,392,424. Here, £450m would buy just 323 homes or it would secure 3,232 mortgages.
The average house price in London is £488,729 and the most expensive city in the UK. This means they could secure just 9,208 mortgages or buy 921 properties.
In Bristol, the £450m pot would secure 1650 properties outright or 16,503 mortgages. In Birmingham, it would stretch to 25,656 mortgages with a ten per cent deposit or 2,566 homes. In Liverpool, it would stretch even further to 35,301 mortgages or 3,530 homes.
The most affordable city is Belfast with an average house price of £120,351. The £450m pot would buy 3,739 homes or get 37,391 mortgages.
London is the most expensive region followed by the South East. Average house prices in the South East is £320,905 – securing 14,023 mortgages or buying 1,402 homes.
In the North East, this would stretch to 33,835 mortgages or 3,383 properties. With the average house price in Scotland at £149,185, they could secure 30,164 mortgages or buy 3,016 homes.
The most affordable region is Northern Ireland, where they could buy 3,498 homes or get 34,979 mortgages.