Created by web-blinds.com, the tool looks at how much Britons would need to earn per hour in order to purchase an averaged priced home in each of the UK’s postcodes.
The most affordable is TS2 in Middlesbrough, where citizens would have to earn just £2.15 per hour to be able to buy a home.
Even the postcode that came in at tenth on the list, CF42 in Treorchy, would not require an adult to be earning minimum wage to buy a house there.
Minimum wage is £5.60 per hour for 18-20 year olds, rising to £7.50 for those aged 25 and over, but the average income per hour needed to purchase a home in CF42 is just £4.86.
These figures contrast starkly with the most expensive postcodes, with not a single one on the top ten in the reach of a minimum wage earner.
SW7 in London took the top spot as most expensive, with Britons needing to earn £186.66 per hour to buy there.
W1H in London was tenth most expensive, with a figure of £143.97 per hour needed to be earnt to buy there.
Speaking about the findings, Melissa Benedict, spokesperson for www.web-blinds.com said: “Being able to see in monetary figures the huge difference between what someone would need to earn to buy a property in the most and least affordable areas of the country is pretty shocking to see.
“The tool has analysed every postcode in the UK, so employers might need to prepare themselves for members of staff asking for pay rises once they’ve had a go!”
Web-Blinds worked out their figures by taking the average cost of houses in each of Britain’s 2,650 postcodes and worked out the mortgage repayments based on having a 20 per cent deposit and taking a 25 year term with a 2.63 per cent interest rate.
They also took in to consideration that homeless charity Shelter recommends housing costs should be no more than 35 per cent of a person’s income.
The tool from web-blinds.com, which you can try here, comes as it was revealed house prices are at crisis point.
House prices are too high, according to experts, causing a crisis in the number of people buying.
Although house prices are going up and up despite ongoing economic uncertainty, buyers are being put under more costs preventing them from buying.
Experts have warned that government needs to cut stamp duty to stop “UK’s legacy as a property-owning democracy is at risk of vanishing.”
Paul Smith, CEO of haart, the UK’s largest independent estate agent, comments on today’s ONS House Price Index: “Along with consumer price hikes and falling wage growth, unaffordability is reaching a crisis point.”
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