New data from Rightmove reveals that average property prices for first-time buyers are falling in several desirable UK locations. While coastal towns see price drops, the most affordable regions are experiencing significant growth.

The 20.5% slump in Exeter's first-time buyer market

A significant correction is hitting some of the UK's most attractive residential areas. In Exeter, Devon, the average cost of a home for a first-time buyer plummeted 20.5 per cent year-on-year to £201,248, according to Rightmove.. This trend extends to other coastal and port cities; for instance, Torquay saw a 7.6 per cent drop to £172,835, while Southampton experienced a 7.1 per cent decline to £187,443.

These price drops in locations like Poole, Hove , and Torquay suggest a temporary window of opportunity for those seeking seaside properties. As Rightmove reported, these declines are creating a environment where first-time buyers can secure "bargain" homes in areas that were previously considered out of reach.

Why Bridlington and St Helens saw 18% price jumps

While sought-after hubs are cooling, the cheapest markets in the UK are seeing a surge in activity. Bridlington in East Riding of Yorkshire (£167,321) and St Helens in Merseyside (£133,106) led the market with average asking prices rising 18 per cent compared to last year. similarly, Falkirk in Stirlingshire saw a 17 per cent increase to £118,327, and Hartlepool prices climbed 12 per cent to £104,276.

This shift reflects a broader trend of "affordability migration." According to Rightmove property expert Colleen Babcock, the strongest price growth is occurring in areas where homes remain within reach for a larger pool of people.. Notably, every one of the fastest-growing locations identified in the data remained below the £170,000 asking price mark, indicating a hard ceiling on what the current crop of first-time buyers can realistically afford.

The £310,000 gap between St Albans and Middlesbrough

The disparity between the UK's most and least expensive entry-level markets has become stark. St Albans in Hertfordshire stands as the most expensive area for first-time buyers outside of London, with an average asking price of £401,352. At the opposite end of the spectrum, Middlesbrough was named the least expensive location, with homes averaging just £90,929.

This massive price gap highlights the fragmented nature of the UK housing market.. While the national average asking price for a typical first-time buyer property is £228,048—a slight 0.7 per cent dip from last year—this figure masks the reality that buyers in St Albans are paying more than four times what a buyer in Middlesbrough would spend for their first home.

What explains the concentration of low prices in Scotland?

One of the most striking findings in the Rightmove analysis is the dominance of Scottish towns in the budget category. five of the top 10 cheapest locations for first-time buyers were located in Scotland, including Greenock, Paisley, Irvine,Aberdeen, and Kilmarnock, where the average price tag was £92,380.

However, the report leaves several questions unanswered. It remains unclear whether these low prices in Scotland are driven by a surplus of inventory or a lack of local wage growth. Furthermore, the source does not specify if the price drops in coastal towns like Hove and Poole are a result of higher interest rates deterring second-home buyers or a genuine shift in first-time buyer preferences.