Average house prices in the North East sit at roughly £167,000 in early 2026. In London, the figure is closer to £530,000. That is a gap of more than £360,000 for what are, legally and politically, residents of the same country. If you have any flexibility on where you live or work, understanding that gap properly can change the shape of what you can afford.
This article breaks down all 12 UK regions by price, affordability ratio, and practical value for money, using the latest HM Land Registry UK House Price Index data.
What "Value" Actually Means in Housing
Price alone does not tell you whether a region is affordable. A £200,000 property in an area where median earnings are £25,000 per year is harder to buy than a £300,000 property in an area where median earnings are £40,000.
The most useful measure is the House Price to Earnings Ratio (HPER): how many years of local median earnings it takes to buy the average local property. A lower HPER means buyers are stretching less relative to what local people earn. The UK average HPER typically sits between 7 and 9.
The 12-Region Breakdown
Based on HM Land Registry data and ONS earnings figures:
| Region | Avg Price | HPER | Annual Price Change |
|---|---|---|---|
| North East | £167,000 | ~4.2 | +4.6% |
| Northern Ireland | £193,000 | ~4.5 | +6.5% |
| Scotland | £193,000 | ~5.0 | +4.3% |
| Yorkshire & Humber | £209,000 | ~5.5 | +3.8% |
| Wales | £209,000 | ~5.7 | +3.2% |
| North West | £226,000 | ~5.9 | +3.9% |
| West Midlands | £248,000 | ~6.8 | +3.1% |
| East Midlands | £254,000 | ~6.6 | +3.4% |
| South West | £322,000 | ~8.4 | +2.7% |
| East of England | £342,000 | ~9.1 | +2.5% |
| South East | £390,000 | ~9.7 | +2.3% |
| London | £530,000 | ~12.5 | +2.0% |
Sources: HM Land Registry UK HPI (December 2025 release); ONS housing affordability data. HPER calculated using regional median workplace earnings.
What this means for you: the six regions with an HPER below 6 (North East, Northern Ireland, Scotland, Yorkshire, Wales, North West) all require buyers to stretch less than the UK average. The South West, East of England, South East, and London all sit above the national average, with London at nearly three times the HPER of the North East.
The Regions With the Best Value in 2026
North East
The North East holds the lowest average price of any English region and an HPER of around 4.2. Annual price growth of 4.6% in the 12 months to December 2025 was the highest of any English region, according to the HM Land Registry. That combination (low price, low HPER, solid growth) makes it the most affordable entry point for buyers who can work there or work remotely.
Cities like Newcastle, Sunderland, and Middlesbrough all have average prices comfortably under £200,000. The region does have lower median wages than the South East, which is reflected in the HPER, but on a pound-for-pound basis you are getting significantly more property per unit of income.
Yorkshire and the Humber
At £209,000 average and an HPER of around 5.5, Yorkshire sits in the middle of the affordable tier. Leeds has seen consistent demand from both first-time buyers and investors, and the broader region includes areas where sub-£150,000 properties are still available. The 3.8% annual price growth reflects steady demand rather than speculative heat.
If you are looking for a balance between urban connectivity (Leeds, Sheffield, York) and genuine affordability, Yorkshire stands out.
Northern Ireland
Often overlooked in England-centric affordability comparisons, Northern Ireland has an average price of £193,000 and annual growth of 6.5%, the highest of any UK region in 2025. HPER sits at around 4.5. For buyers willing to consider Belfast and surrounding areas, the combination of low prices, strong growth momentum, and a recovering local economy makes it a compelling picture.
Note that Northern Ireland uses Stamp Duty Land Tax (SDLT) under the same rules as England, including the first-time buyer relief thresholds.
The Regions Where Value Is Squeezed
South East and East of England
Both regions have average prices above £340,000 and HPERs above 9. Price growth is slower (2–2.5% annually) than northern regions, reflecting the fact that prices have already risen substantially over the past decade. For first-time buyers, the deposit requirement alone is formidable. A 10% deposit on the South East average requires £39,000 in savings before legal fees or stamp duty.
These regions still attract strong demand because of commuter access to London and high local salaries, but the value-for-money picture is materially worse than anywhere north of the Midlands.
London
London operates in a different register entirely. An HPER of 12.5 means the average London property costs 12.5 times the average London salary. Even with London's higher wages factored in, that is an extreme stretch. Annual price growth is the slowest of any region at 2.0%, reflecting a market that is already priced to near its ceiling for most buyer profiles.
The areas where value still exists within London tend to be outer boroughs: Barking and Dagenham, Bexley, and parts of Croydon have average prices in the £300,000–£380,000 range, though that is still above the national average.
Remote Work and the Value Equation
The pandemic-era shift to remote and hybrid working changed the regional value calculation in a concrete way. A buyer who can work fully remotely is no longer paying a location premium for proximity to their employer. For those buyers, the relevant comparison is:
- North East at £167,000 with a 4.2 HPER
- South East at £390,000 with a 9.7 HPER
That is not just a lower price. It is a lower debt burden, a lower monthly repayment, and a lower HPER, which means the same income stretches further. Remote-friendly roles in tech, finance, and professional services have made this trade-off genuinely viable for a larger share of buyers than at any point in the last 20 years.
What this means for you: if your employer offers full or substantial remote working, the affordability map shifts significantly in your favour if you are willing to consider northern regions or Northern Ireland.
What the MortgagePulse Scores Show
The MortgagePulse regional dashboard combines price, HPER, and annual growth into composite affordability and overall scores for all 12 regions. The rankings update monthly as new HM Land Registry data is released.
Broadly, the current scores reflect what the table above shows: the North East, Northern Ireland, and Yorkshire consistently score highest for affordability. The South East and London score lowest. The Overall score adds a growth component, which means regions with strong price momentum (Northern Ireland, North East) rank higher overall than their prices alone would suggest.
Practical Takeaways
The North, Midlands, and Wales offer the strongest affordability fundamentals. If your work situation allows it, the HPER differential between northern regions and the South East is the single biggest lever available to a first-time buyer.
Growth matters too. A low price in a stagnant market means your equity builds slowly. The North East's 4.6% annual growth alongside its low base price is a better combination than a higher-priced region growing at 2%.
Check your full upfront cost, not just the property price. The MortgagePulse affordability calculator shows stamp duty (including the correct SDLT, LBTT, or LTT rules for your region), monthly repayments at current rates, and a lender stress test. The total upfront cost can vary by thousands depending on region and buyer status.
See how your region stacks up
The MortgagePulse dashboard ranks all 12 UK regions by affordability and overall score, updated monthly from HM Land Registry data. The calculator shows your full affordability picture including stamp duty for your region.
Try the Affordability Calculator
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This article is for information purposes only and does not constitute financial or legal advice. House price and earnings data is sourced from HM Land Registry and ONS and is subject to revision. Always speak to a qualified mortgage adviser before making any borrowing decision.