Families could enter the housing market for around £325 a month, with towns in the North East among the most affordable in the UK, according to analysis by Zoopla.
Shildon, North East, was identified as the most affordable town for families buying a home.
The analysis covers 300 towns popular for families seeking three-bedroom homes. Popularity was based on the number of property views, and towns were then ranked by affordability.
Affordability is measured using a value-to-earnings ratio, showing the number of years of combined adult salaries required to buy a home.
Towns in the North East, Scotland and Wales top the affordability rankings
The top thre areas are all in the North East of England with Shildon, a quiet town with a rich industrial heritage, located in County Durham, near Bishop Auckland coming top of the list with an average price of just £82,500, and a value to earnings ratio of 1.36x. Homes in Shildon are three cheaper than the most affordable towns in the South East
Towns across the North East, Scotland and Wales make up the top 10 most affordable towns.
Ferndale is a town and community in the Rhondda Valley and the most affordable town in Wales with average 3 bed home values of £113,000 and a price to earnings ratio of 1.85x. Cumnock, is an historic market town in East Ayrshire, south of Glasgow and tops the list in Scotland with an average value of £113,600 and a value to earnings ratio of 1.68x.
Table 1: The top 10 most affordable towns in the UK
Rank | GB region / country | Postal town | Average value of a 3-bed home | Estimated earnings required (2 full-time earners) | Value to earnings ratio (Jan 2026) | Estimated monthly mortgage repayment (80% LTV) |
1 | North East | Shildon | £82,500 | £60,800 | 1.36 | £325 |
2 | North East | Peterlee | £98,750 | £60,800 | 1.62 | £389 |
3 | North East | Ferryhill | £99,700 | £60,800 | 1.64 | £392 |
4 | Wales | Ferndale | £113,000 | £61,000 | 1.85 | £445 |
5 | Scotland | Cumnock | £113,600 | £67,700 | 1.68 | £447 |
6 | North East | Stanley | £114,450 | £60,800 | 1.88 | £450 |
7 | North East | Crook | £118,100 | £60,800 | 1.94 | £465 |
8 | Scotland | Irvine | £120,900 | £70,900 | 1.70 | £476 |
9 | North East | Ashington | £130,800 | £62,300 | 2.10 | £515 |
10 | North East | Hartlepool | £132,600 | £59,000 | 2.25 | £522 |
Source: Zoopla
Clear north-south divide in most affordable towns for families
There are affordable towns within every region but higher house prices in the south means less affordability and higher monthly mortgage repayments. Dover is the most affordable town in the South East but the value to earnings ratio is over 4x with monthly mortgage repayments of £1,100.
Lowestoft in the East of England and Cinderford in the South West top the affordability ranking for families across the south of England with value to earnings ratio of 3.6x to 3.8x.
The most affordable towns within each region/country
Rank | GB region / country | Postal town | Average value of a 3-bed home | Estimated earnings required (2 full-time earners) | Value to earnings ratio (Jan 2026) | Estimated monthly mortgage repayment (80% LTV) |
1 | North East | Shildon | £82,500 | £60,800 | 1.36 | £325 |
4 | Scotland | Cumnock | £113,600 | £67,700 | 1.68 | £447 |
6 | Wales | Ferndale | £113,000 | £61,000 | 1.85 | £445 |
9 | North West | Egremont | £139,500 | £69,200 | 2.02 | £549 |
62 | Yorks & H | Immingham | £157,700 | £59,100 | 2.67 | £621 |
75 | E Mids | Gainsborough | £175,300 | £62,900 | 2.79 | £690 |
162 | W Mids | Telford | £215,300 | £64,300 | 3.35 | £847 |
208 | South West | Cinderford | £272,250 | £74,800 | 3.64 | £1,071 |
225 | Eastern | Lowestoft | £234,800 | £61,900 | 3.79 | £924 |
287 | South East | Dover | £280,300 | £68,900 | 4.07 | £1,103 |
Source: Zoopla
Richard Donnell, executive director at Zoopla, said: “The housing market is entering one of its busiest periods, with the most homes for sale in many years and at a time when buyers are becoming increasingly focused on value for money.
“What stands out is the scale of the affordability gap across the UK. In parts of the North East, families can buy a home for much less than the cost of buying in the most affordable towns in southern England.
“While there are affordable options in every region, buyers often face a trade-off between lower house prices and their proximity to major employment centres. Many of the most affordable towns in southern England are coastal meaning better affordability may come at the cost of more expensive travel which may not work for everyone.
“The tools are out there to help buyers make better informed decisions and understand the trade offs to make a successful move in 2026.”
Read the orginal article: https://propertyindustryeye.com/the-top-10-most-affordable-towns-in-the-uk/?utm_source=rss&utm_medium=rss&utm_campaign=the-top-10-most-affordable-towns-in-the-uk
