- Lloyds research indicates that properties in adjacent postcodes are, on average, 28% cheaper than in more expensive areas.
- In some regions, the price difference is wider; for instance, homes in Blyth (NE24) are 47% cheaper than in neighbouring Whitley Bay (NE26).
- London buyers could save approximately £232,419 by opting for NW2 (Cricklewood, Dollis Hill) over the more expensive NW3 (Hampstead, Belsize Park).
- Amanda Bryden, head of mortgages at Lloyds, advises that looking just beyond sought-after postcodes can provide more affordable options while retaining access to jobs, transport, and amenities.
- The average house price in Blyth is £162,075, which is £141,947 or 47% less than its pricey neighbour, Whitley Bay.
- Across the UK, neighbouring postcodes were, on average, 28% cheaper than the higher-value areas they bordered.
A new study by Lloyds Bank reveals that homebuyers can save significantly by purchasing properties in neighbouring postcodes, which are, on average, 28% cheaper than their more expensive counterparts.16
The research highlights that in Blyth (NE24), homes are 47% cheaper than in nearby Whitley Bay (NE26), with average prices of £162,075 compared to £304,022.25
Amanda Bryden, head of mortgages at Lloyds, stated, “It’s easy to focus on the ‘must-have’ locations when you’re searching for a home, but this research highlights just how much value can sit right next door.”4
The study indicates that buyers in London could save around £232,419 by choosing NW2 (Cricklewood, Dollis Hill) over the pricier NW3 (Hampstead, Belsize Park).3
In Scotland, moving from Edinburgh’s EH3 postcode to EH11 can reduce average house prices by more than £75,000.
Overall, the findings suggest that exploring adjacent postcodes can yield substantial savings, making homeownership more accessible, especially for first-time buyers.
“Looking just beyond sought-after postcodes can provide more affordable options while retaining access to jobs, transport, and amenities,” Bryden added, emphasizing the importance of considering nearby areas.
The study underscores the potential for buyers to find better value in less sought-after locations, which can significantly impact their financial decisions.
“Amanda Bryden, head of mortgages at Lloyds, emphasizes that exploring areas just beyond sought-after postcodes can yield significant savings while maintaining access to essential amenities. For instance, buyers in London can save around £232,419 by choosing NW2 over the pricier NW3, highlighting the potential for substantial financial benefits.”
The Independent
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