Why Northern England's Large Detached Freehold Houses Are Affordable

For many, the charm of Northern England lies in the affordability of its large detached freehold houses. However, the reasons behind this phenomenon are more nuanced than might initially meet the eye. This article explores the key factors contributing to the affordability of these properties and provides insight into why some individuals are making the northward move.

Job Market and Demographics

The job scarcity in Northern England significantly influences the housing market. Areas with fewer well-paying jobs mean that fewer people choose to live there, reducing demand and consequently keeping property prices low. For example, my nephew, a qualified car mechanic with experience working with high-end brands such as Lotus, recently decided to move to Northern England. His London flat was becoming too small with a young daughter, and he couldn't afford a larger property in the capital. By remortgaging and letting his London flat, he effectively bought a larger house with a garden in the north. With his new arrangement, his wages are now sufficient to cover his daily living expenses and he even has savings to cover three months of mortgage payments in case the tenant moves out.

The demographic makeup of these regions also plays a critical role. With fewer employment opportunities, residents tend to look for work elsewhere, leaving fewer people to maintain the property values in northern towns and cities. This creates a cyclical effect where the absence of a robust job market contributes to lower property sales, further exacerbating the affordability of houses in Northern England.

Cost of Living vs. Salary

The notion of affordability in Northern England is multifaceted. Properties in desirable areas can sell for between ￡300k and ￡700k, whereas in the most sought-after areas, prices can soar to ￡10 million. However, the definition of affordability depends on an individual's financial situation. For example, a couple might struggle to afford a property priced at ￡200k on average wages, but if they have sold a flat in London for a significantly higher price, owning a house in the north becomes a feasible option.

Living Costs and Maintenance

While large detached houses might be affordable to purchase, they present a different set of challenges when it comes to living costs. Owning such properties incurs substantial expenses:

Expensive to maintain (e.g., regular upkeep, repairs, and maintenance) Expensive to heat (especially in the often harsher northern climate) Expensive to reach (including commute costs)

Most well-paid jobs in Northern England are concentrated in the urban centers of larger cities, which are difficult to conveniently commute to from these rural properties. Additionally, having a spacious house often means more work to keep it in good condition and a greater need for social connections, such as inviting family and friends for visits. The extra time and effort required to manage these tasks can sometimes outweigh the benefits of a larger home.

Conclusion

The affordability of large detached freehold houses in Northern England is a complex issue. While the job market and demographics play significant roles in keeping property prices low, these houses also come with their own set of challenges. Understanding the factors contributing to this phenomenon can help potential buyers make more informed decisions about their housing options.

Key Takeaways:

Job scarcity and fewer well-paying jobs in Northern England contribute to lower property demand and prices. The wage-to-price ratio can influence affordability, especially for those with significant savings or alternative income streams. Living costs, including maintenance, heating, and commute expenses, add to the overall cost of ownership. Properties in desirable areas can be expensive, but the relative affordability of less desirable areas can make large detached houses a viable option for some.

Understanding these factors can help individuals and families navigate the housing market in Northern England and find the right place to call home.