First-time homebuyers frozen out as house prices in Jesmond reach new highs
Written by Talya Honebeek on 16th May 2022
Prospective homebuyers are being pushed out of the Jesmond housing market as asking prices in the suburb reach new highs.
The average asking price for properties for sale in Jesmond reached £361,564 in March – the second-biggest jump seen anywhere in the UK in the last 12 months.
This marks an increase of 23% from the £293,049 average of last year, according to data collected by Rightmove.
It comes as several lenders tighten up their mortgage affordability criteria in order to take the rising cost of living into account.
Soaring energy price caps, fuel costs and interest rates paired with stagnant salaries mean more people are struggling to borrow the size of loan they need to get onto the property ladder.
Experts predict that house prices will stabilise as the year continues. However, in the meantime, many prospective buyers are being advised to save for a higher deposit, reduce their monthly outgoings or look for somewhere smaller or less central to live.