Manchester’s Top Areas for First-Time Buyers

It’s no wonder many people are struggling to afford new homes in the UK right now, higher interest rates and rising mortgage rates have led to higher loan-to-value ratios for first-time buyers, particularly in areas with higher house prices.

Despite reports that house prices are slowly dropping, first-time buyers are finding it hard to get their foot in the door. The Help to Buy scheme and the newly announced 100% percent mortgage with no deposit created by Skipton Building Society are incentives aiming to help first-buyers with their first home, which comes at a time when the average price of a home in Greater Manchester is now £257,700.

Despite the difficulty, we thought we would harness the good the Help to Buy and 100% mortgage scheme are offering and look at the top and most affordable areas within Manchester right now.

Why is it so Difficult for First-Time Buyers at Present?

An increase in house prices and mortgage rates have been the driving force in the difficulty first-time buyers are seeing getting onto the property ladder. To gain a little perspective, in November 2022, according to the ONS (Office for National Statistics), the average house price was £295,000 and the average salary was £33,000 a year. Saving for a 10% deposit under these circumstances would cost you just under a year’s gross salary, which is a great challenge for most first-time buyers, especially those renting. The increase in the bank rate over the past months has also increased mortgage rates, pushing it up to almost 6%.

Saving for a deposit is becoming crippling for most first-time buyers, especially those renting, and who are also seeing their rent rates rise, meaning they have less cash to save for a deposit. Many first-time buyers are dissuaded from entering the property ladder because of this, meaning that demand is falling and should suggest a decrease in house prices.

House prices are slowly beginning to decrease, it may be difficult to see and require some research but that’s where we can help. We’ve pulled together a list of the top areas for first-time buyers within Manchester.

Greater Manchester’s Most Affordable Areas.

We’ll start with the most affordable area and work through it to slightly more expensive.

There are several areas within the largest borough of Manchester with affordable house prices, currently, Harpurhey is the cheapest with the average house price at £139,640. Other affordable areas within Manchester include Newton Health, Openshaw, Moston, Moss Side, Gorton, Collyhurst, Belle Vue, Bradford, and Beswick where standard homes cost between £166,370 and £199,330.

Almost every area of Wigan is considered affordable to first-time buyers, with Pemberton currently averaging house prices of £146,230 and other cheaper areas including Abram, Ince, Leigh, Ashton-in-Makerfield, Orrell, Platt Bridge, and Atherton house prices ranging from £150,350 to £192,920.

The most affordable area in Bolton is Farnworth, with the average house price at £171,350, labelling it one of Greater Manchester’s cheapest boroughs to live in right now. Other cheap areas in Bolton include Heaton, Kearsley, and Westhoughton, where house prices remain under £200,000.

There are plenty of affordable options within Oldham for first-time buyers, the cheapest being Hollinswood, with an average house price of £172,780. Other areas with reasonable property prices include Lees, Shaw, Chadderton, Royton, and Failsworth, ranging from £187,290 to £209,670.

House prices on average are generally higher in Salford but there are areas that are still suitable for first-time buyers. The cheapest area in Salford is Little Hulton where you can purchase a home for £175,480 and other affordable areas include Salford Quays, Cadishead, Eccles, Peel Green, and Irlam, with prices ranging from £190,080 to £231,930.

The cheapest borough of Rochdale is currently Castleton with an average house price of £180,220, closely followed by Newhey at £191,670 and Milnrow at £191,680. Other more affordable areas in Rochdale include Heywood, Middleton, and Littleborough ranging from £203,250 to £239,270.

An ideal area in Tameside for first-time buyers is Ashton-under-Lyme with an average house price of £195,360, other areas include Dukinfield, Denton, Droylsden, Hyde, Stalybridge, Audenshaw, and Broadbottom, ranging from £196,400 to £237,530.

The region's most expensive area to buy a home, Trafford still has one area that could be considered affordable to first-time buyers, and that is Partington, which currently has an average house price of £204,804.

Some parts are certainly unaffordable to first-time buyers, there are a few other areas with lower house prices. Unsworth is currently the cheapest with an average house price of £221,550, with Radcliffe and Tottington ranging from £233,990 to £241,930.

Another more expensive area to live in, the cheapest areas in Stockport currently are Edgeley at £241,840 and Reddish at £245,730.

Mortgage Broker Manchester: Getting you on the Property Ladder.

If Manchester is on your radar for places to buy your first home, we hope this little run down has helped you to identify where to do your research next and if you are looking for help in getting onto the property ladder in an affordable way, utilising the best rates on the market today and doing so sensibly with the income you have, then speaking with TaylorMade could be the next right move for you.

We are one of the leading, independent mortgage advisors in Manchester. We strive to get the best rates on the market for every customer and our team of mortgage advisors can help you discover what to expect when you are buying your first home, including how much you can borrow, how much your mortgage will cost, and how much deposit you will need.

Get in touch today to see how the leading mortgage advisors in Manchester could help you.