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Britain’s 10 cheapest and most expensive streets and how you can buy faster

By Vin Parmar on in Buying, Industry News

Britain’s 10 cheapest and most expensive streets and how you can buy faster

The cheapest street in England and Wales is in Sunderland and costs less than a Ford Focus.

If you’re one of the house buyers concerned about Britain’s property bubble, you should head toward County Durham. County Durham is home to only one of the seven cheapest streets in the UK. In Peterlee, you’d expect to spend as little as £14,600.

But that’s not all, it gets cheaper than that.

For the third year in a row, the cheapest street in the UK has been named as Waterloo Walk in Sunderland, where flats sold for an average of £14,500 in 2015.

10 cheapest streets in England and Wales

  1. Waterloo Walk, Sunderland: average price £14,600.
  2. Eleventh Street, County Durham: average price £17,019.
  3. Tees Street, County Durham: average price £17,078.
  4. Twelfth Street, County Durham: average price £18,467.
  5. Hollands Walk, Cheshire West and Chester: average price £18,817.
  6. Belgrave Walk, Conwy: average price £18,833.
  7. Seventh Street, County Durham: average price £19,250.
  8. Sixth Street, County Durham: average price £19,479.
  9. Hawthorn Street, County Durham: average price £19,800.
  10. Ashton Street, County Durham: average price £19,833.

In contrast, the most expensive street in England and Wales in 2016 was Lansdowne Crescent in Notting Hill – where homes go for an average of £9.6m.

There were 1,451 streets in England and Wales at an average price of £1m or more, which is up from 1,352 and 1,411 in 2014. These figures are based on data collected from Land Registry, which has the price of each individual residential property bought at market value.

Currently, the average deposit in the capital is likely to set you back over £100,000 compared to an estimated £18,324 in the North East – which has a huge number of new builds.

If your heart is set on living in London, or you need easy access to the capital, you can consider Luton, Bedfordshire. It has fast trains to King’s Cross taking less than 24 minutes, and an average house cost of £256,636. Bedfordshire is a property hotspot with prices going up almost a fifth in the last 12 months.

10 most expensive streets in England and Wales

  1. Lansdowne Crescent, Kensington and Chelsea: average price £9,618,250.
  2. Thurloe Square, Kensington and Chelsea: average price £9,583,333.
  3. Lansdowne Road, Kensington and Chelsea: average price £8,410,000.
  4. Marlborough Place, City of Westminster: average price £8,036,667.
  5. Princes Gate, City of Westminster: average price £7,713,333.
  6. Trevor Square, City of Westminster: average price £7,663,036.
  7. Holland Park, Kensington and Chelsea: average price £7,582,536.
  8. Hyde Park Gate, Kensington and Chelsea: average price £7,316,900.
  9. Victoria Road, Kensington and Chelsea: average price £6,778,750.
  10. Eaton Square, City of Westminster: average price £6,327,589.

If you’re unable to get financial help from family or friends, there are other ways you can get on to the property ladder.

6 Schemes to help you buy faster

1. Help-to-buy

First-time buyers can open a help-to-buy ISA, which gives a 25 per cent government bonus on the amount saved between £1,600 and £12,000 – although this is capped at £3,000. It can be used for any property costing under £250,000 (£450,000 in London) and any mortgage.

You can save up to £1,000 in your first month, then up to £200 a month after that. You can also choose to pay in less if you want.

Help-to-buy ISAs are only available to individuals. If you’re buying together, you can separately claim the government bonuses on your savings – and then combine the two to form a joint deposit.

Things to note:

The bonus scheme was available until September 2013 – but the deadline to open an account is December 2019. In April 2017, help-to-buy relaunched to become the government’s lifetime ISA.

If you miss a contribution one month, you can’t make up for it in the following month (the cap is £200).

If you’re buying together, but one of you is already a home owner, the first-time buyer can still open an account. You need to get your solicitor to apply for the bonus when you buy a home. You can take the money out at any point, but if you choose to, you won’t qualify for the bonus.

If you’re saving into a help-to-buy ISA, you can’t save into another cash ISA in the same tax year.

2. Help-to-buy equity loan

The next part of help-to-buy is called the equity loan. It requires a minimum 5 per cent deposit of the property value, with the government offering an interest-free loan of a further 20 per cent. The remaining 75 per cent is covered by a standard mortgage.

You may be wondering how it works?

There is no interest to pay for the first five years. In year six, interest (known as a ‘loan fee’) kicks in at 1.75 per cent.

The idea with the help-to-buy equity loan is that you’re theoretically borrowing 75 per cent from the mortgage lender, and rates will be cheaper than on a 95 per cent mortgage. But that isn’t always the case.

When you come to sell your home, the government will take back its 20 per cent share. This option is only available on new-build properties worth up to £600,000. The scheme will remain open until 2020.

3. Lifetime ISA

The Lifetime ISA account offers a tax-free boost of up to £1,000 a year toward either buying your first home or saving towards retirement.

Savers aged 40 or under can open this account, which became available from April 2017. You can put away up to £4,000 each year. The government will then boost returns by 25p for every £1 saved at the end of each tax year.

If you’re a first-time buyer, you can opt to use your Lifetime ISA cash as a deposit on a property worth up to £450,000.

4. Starter Homes scheme

This will see the creation of around 200,000 new affordable homes, sold at a minimum discount of 20 per cent to first-time home buyers aged between 23 and 40. Construction of these homes started in January 2017 – and properties could be ready to sell as early as this time next year.

There’s a £250,000 price cap on homes available under the scheme, rising to £450,000 if you’re buying in London.

5. Shared Ownership

Shared Ownership schemes let you buy a share of a home (between 25 per cent and 75 per cent) from a local Housing Association and you pay rent – up to 3 per cent – on the part you don’t own.

Under a process known as ‘staircasing’, you’ll be given the chance to buy back chunks when you can afford to – until you own 100 per cent of the home. These chunks will be priced at the home’s current market value as assessed by the Housing Association. You’ll also have to pay a valuer’s fee each time.

To qualify for Shared Ownership, your household income must not exceed £80,000 or £90,000 if you’re buying in London.

6. Right to Buy

If you’ve lived in a council home for three years or more, you could be eligible for Right to Buy. This scheme lets tenants buy their home off the council at a big discount.

New rules launched last April furthered the discounts available to those making a Right to Buy purchase – discounts now stand at £77,900 or £103,900 if you live in London.

Feature image credit: Photo © Malc McDonald (cc-by-sa/2.0)