Revealed: The UK cities where you need the highest salary to buy a home
The salary needed to buy in London is now nearly four times the national average earnings, while St Albans is named the most expensive place to buy outside the capital
New insight from Go.Compare has revealed the UK cities where buyers need the highest salaries to get on the property ladder with London once again far ahead.*
According to the comparison site’s analysis, the average salary needed to buy a home in London now stands at £147,516, driven by an average house price of £741,420. This is almost four times the current UK average salary, which sits at £38,100.*
Elsewhere, the list is dominated by university cities and popular commuter destinations in the south and south-west of England. St Albans (£143,962) and Cambridge (£123,052) follow closely behind London, while Oxford (£120,866) and Brighton and Hove (£112,356) complete the top five.
The top 10 most expensive cities to buy a home in 2025
|
Location |
Salary required |
Average house price |
|
|
1 |
London |
£147,516 |
£741,420 |
|
2 |
St Albans |
£143,962 |
£723,557 |
|
3 |
Cambridge |
£123,052 |
£618,464 |
|
4 |
Oxford |
£120,866 |
£607,474 |
|
5 |
Brighton and Hove |
£112,356 |
£564,702 |
|
6 |
Winchester |
£92,457 |
£464,691 |
|
7 |
Bath |
£90,298 |
£453,839 |
|
8 |
Bristol |
£87,399 |
£439,271 |
|
9 |
Reading |
£84,939 |
£426,908 |
|
10 |
Chelmsford |
£83,910 |
£421,735 |
Notably, the top 10 most expensive cities are unchanged from five years ago, but the average salary needed to buy a home continues to rise. In London, the salary required to buy has increased by approximately £15,000 (11%) in the last five years.
The biggest increase in the salary required to purchase a home, though, goes to Bath, which saw a 22% increase in just five years, followed closely by Bristol (20%) and Chelmsford (18%).
This widening gap highlights how house prices have continued to outpace earnings, making it increasingly difficult for buyers to get on the ladder in already expensive areas.
Rhys Jones, expert at Go.Compare Money commented on the findings: “These figures highlight just how much there is to consider when you’re buying a house - whether you’re a first-time buyer, thinking about your next move as you start a family or downsizing, these stats highlight how it really is all about location, location, location.
“While these figures highlight the challenges of buying a home in the most expensive cities, it’s important for buyers not to feel daunted. There are tools and resources available to help people understand what they can realistically afford. Understanding your own finances and affordability is the first step.
“If you’re curious, you can take a look at things like our ‘How much could I borrow with a mortgage?’ calculator, so you can start thinking about the next steps. Even in high-cost areas, knowing your borrowing potential is the first step toward making home ownership achievable.”
To learn more about the different salaries needed to buy a home in different parts of the UK visit: https://www.gocompare.com/home-insurance/salary-to-buy/
Contact Information
Rubie Barker
Notes to editors
*Full methodology and analysis available at: https://www.gocompare.com/home-insurance/salary-to-buy/
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About Go.Compare
Go.Compare is a comparison website that enables people to compare the costs and features of a wide variety of insurance policies, financial products and energy tariffs.
It does not charge people to use its services and does not accept advertising or sponsored listings, so all product comparisons are unbiased. Go.Compare makes its money through fees paid by the providers of products that appear on its various comparison services when a customer buys through the site.
When it launched in 2006, it was the first comparison site to focus on displaying policy details rather than just listing prices, with the aim of helping people to make better-informed decisions when buying their insurance. It is this approach to comparing products that secured the company an invitation to join the British Insurance Brokers’ Association (BIBA) in 2008, and it is still the only comparison site to be a member of this organisation.
Go.Compare has remained dedicated to helping people choose the most appropriate products rather than just the cheapest and works with Defaqto, the independent financial researcher, to integrate additional policy information into a number of its insurance comparison services. This allows people to compare up to an extra 30 features of cover.
Go.Compare is part of Future Plc and is authorised and regulated by the Financial Conduct Authority (FCA). More information can be found here www.gocompare.com or here https://www.futureplc.com/brands/.