Britain’s first-time buyers are increasingly looking beyond traditional property hotspots in search of value with some of the strongest house price growth now being recorded in lower-cost towns and cities where affordability remains within reach.
New analysis from Rightmove shows Bridlington in East Yorkshire and St Helens in Merseyside have seen the fastest growth in first-time buyer asking prices over the past year, both rising by 18%.
Falkirk followed with annual growth of 17%, while Hartlepool and Dewsbury each recorded increases of 12%.
What’s striking is not just the pace of growth but the price points involved. Every location in Rightmove’s top ten fastest-growing first-time buyer markets remains below £170,000, suggesting demand is increasingly concentrating in areas where buyers can still secure a home without stretching affordability to its limits.
AFFORDABILITY PRESSURES
The findings come at a time when first-time buyers continue to face a combination of higher mortgage rates, tougher affordability assessments and rising stamp duty costs following the reduction in first-time buyer relief thresholds in April 2025.
Rather than retreating from the market altogether, many appear to be adjusting where they buy.
Across Great Britain, the average asking price of a typical first-time buyer home now stands at £228,048, down 0.7% on last year. While that headline figure suggests a broadly flat market, the regional variations tell a more complex story.
In a number of southern markets, asking prices are falling as affordability pressures weigh on demand. Exeter has seen first-time buyer prices decline by 20.5% over the past year, while Derby (-10.2%), Southampton (-7.1%), Hove (-5.4%) and Poole (-5.1%) have also recorded notable reductions.
MARKET DYNAMICS
In more affordable areas, limited stock and resilient demand from first-time buyers are continuing to support prices. In higher-value locations, buyers are becoming more selective, taking longer to commit and negotiating harder.
The trend also mirrors a broader shift in buyer priorities. With mortgage affordability under pressure, many first-time buyers are focusing less on aspirational locations and more on securing a foothold on the housing ladder where monthly repayments remain manageable.
The data highlights just how wide the affordability gap remains. St Albans tops the list of the most expensive first-time buyer markets outside London, with an average asking price of £401,352, more than four times the £90,929 average seen in Middlesbrough, the cheapest location analysed.
Scotland features prominently among the most affordable markets, with Kilmarnock, Greenock, Paisley, Irvine and Aberdeen all making the top ten least expensive locations for first-time buyers.
AFFORDABILITY GAP
Colleen Babcock (main picture, inset), Property Expert at Rightmove, says affordability continues to dictate where first-time buyers are searching.
“We’re seeing the strongest price growth in areas where homes remain within reach for more people. Lower-cost locations are still seeing strong interest, with competition for homes helping to hold prices up.”
INCREASE HOUSING SUPPLY
Nathan Emerson, CEO of Propertymark, says: “These figures show that affordability continues to drive first-time buyer activity, with the strongest price growth concentrated in areas where homeownership remains within reach.
“While demand remains strong in many northern English and Scottish markets, buyers still face challenges from higher mortgage costs, ongoing living expenses and saving for a deposit.
“The differences in price growth across the country highlight the influence of local market conditions, with affordable areas continuing to attract strong demand.
“To help more people onto the property ladder, governments across the UK must prioritise increasing housing supply and improving affordability.”
GAPING HOLE
Jeremy Matallah, co-founder of rent to buy housing provider Keyzy, says: “The nearest hotspot to London with rapid price growth is Great Yarmouth, more than 100 miles away, proving that the best first time buyer opportunities are nowhere near the country’s biggest employment market.
That says everything about the state of housing affordability in the UK.
“The uncomfortable truth is the gaping hole in the supply of genuinely affordable homes in and around London.
“With a typical first-time buyer deposit approaching £45,000 in London, homeownership near the capital is a pipe dream for many.
“Among the traditional commuter towns once seen as the affordable alternative, such as Epsom and Wokingham, many have hit a ceiling, with prices stagnating or even falling.”
