HOUSE prices for those moving into their second home in Northern Ireland are the lowest in the UK, figures show.
The report by Lloyds Bank shows that the average price for a so-called ‘second-stepper home’ in the UK has risen by 9 per cent in the last year alone to £285,606, while the average price in Northern Ireland sits at £159,326.
As the overall house prices have increased year-on-year, affordability for existing homeowners moving up the property ladder has generally improved, as they find themselves with more cash from their first home to purchase their second.
Housing affordability for second-steppers was calculated as the average price they can expect to pay for a home minus the amount they have to put down as a deposit, as a ratio of average annual earnings.
The number of those moving on to their second home in the first half of the year is at its highest level since 2008 when it peaked at 179,800 – this year it hit 174,700.
On average, a second-stepper in the UK needs to put down 6.5 times their annual earning, while those in Northern Ireland only had to find 4.9 times their wage.
Interestingly, the deposit home-movers have needed to put down for their new home in the north is down 17 per cent in the last five years to £42,310 – making it the only region in the UK to see a decrease in this time.
London continued to hold the title of having the most expensive real estate, with second steppers having to reach into their pocket to a depth of £540,440 on average for their new home.
In fact, the average deposit for a second home in London was over £30,000 more than the full cost of a second home in Northern Ireland.
