Aldermore’s new First Time Buyer Appeal Index1, analysing 50 cities across the UK to help demonstrate the best areas for first-time buyers, found London ranked 42 in the list of 50 cities. The Index is a comprehensive study of 50 cities across the UK, ranked by affordability, available housing stock and lifestyle considerations for first-time buyers.
London sits low in the rankings due to high house prices, unaffordable deposit requirements and its limited potential for house price growth which is needed to move up the property ladder. Yet despite this, demand from first-time buyers is still high as young workers strive to get a foot on the ladder in the capital. It boasts strong professional prospects, with one of the highest average salaries attracting a high number of graduate workers. This sits alongside enviable lifestyle benefits including an average of 36 pubs and restaurants per 10,000 people. However, it does have the worst commuting time which drags London’s score down.
Within London, the Appeal Index found the top boroughs to buy according to lifestyle and property appeal are Lambeth, followed by Hounslow, Southwark, Greenwich and Newham.
Hammersmith & Fulham performs the best in terms of the lifestyle opportunities available, with a diverse range of bars and restaurants to visit, at 51 choices per 10,000 people. The average full time pay is also higher than average, which is crucial as raising a deposit to buy in this area is tougher than other boroughs with a 6.5x income multiple needed.
Barking & Dagenham is the most affordable borough, ensuring a good score overall. The borough’s competitiveness is tempered by being slightly less competitive in terms of lifestyle opportunities, with only 10 bars or restaurants per 10,000 people.
| Ranking | City | Overall Score |
| 1 | Lambeth | 52 |
| 2 | Hounslow | 50 |
| 3 | Southwark | 49 |
| 4 | Greenwich | 49 |
| 5 | Newham | 48 |
| 6 | Wansdworth | 48 |
| 7 | Barking & Dagenham | 48 |
| 8 | Lewisham | 48 |
| 9 | Croydon | 47 |
| 10 | Hackney | 46 |
[Full table of boroughs included in notes to editors]
Jon Cooper, head of mortgages at Aldermore, comments: “Although London ranks in the bottom 10 of our First Time Buyer Appeal Index this year, we can’t get away from the fact that it is still a dream for many people to buy in the capital, especially for first-time buyers who wish to secure a property of their own. With its job opportunities, higher than average salaries and a huge choice of restaurants and bars, London is still very appealing.
“At Aldermore we want to help first-time buyers to realise their homebuying dreams. We would encourage prospective buyers to seek expert advice from brokers who can outline their options and work with them to achieve their end goal of getting on the property ladder.”
**Ends**
Aldermore’s First Time Buyer Appeal Index 2022 Top London Borough Ranking Table:
|
Ranking |
Borough |
|
1 |
Lambeth |
|
2 |
Hounslow |
|
3 |
Southwark |
|
4 |
Greenwich |
|
5 |
Newham |
|
6 |
Wandsworth |
|
7 |
Barking & Dagenham |
|
8 |
Lewisham |
|
9 |
Croydon |
|
10 |
Hackney |
|
11 |
Islington |
|
12 |
Camden |
|
13 |
Tower Hamlets |
|
14 |
Hammersmith & Fulham |
|
15 |
Kensington & Chelsea |
|
16 |
Waltham Forest |
|
17 |
Sutton |
|
18 |
Westminster |
|
19 |
Havering |
|
20 |
Bexley |
|
21 |
Redbridge |
|
22 |
Haringey |
|
23 |
Bromley |
|
24 |
Merton |
|
25 |
Harrow |
|
26 |
Brent |
|
27 |
Ealing |
|
28 |
Kingston upon Thames |
|
29 |
Richmond upon Thames |
|
30 |
Hillingdon |
|
31 |
Barnet |
|
32 |
Enfield |
1 Aldermore’s First Time Buyer Appeal Index was designed by Opinium and comprises 10 key indicators across two pillars. The index uses a series of secondary data sources including ONS, Census, NOMIS and other official housing statistics.
Property Pillar indicators:
Lifestyle Pillar indicators:
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For further information about Aldermore, please review our Notes to Editors page.
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