"Devon is one of least affordable places in the world to buy a house"

A new, international report is just out looking at 'Rating Middle-Income Housing Affordability' - and the authors have a particular viewpoint, namely:

"Demographia’s reports and countless other surveys and studies do not leave the slightest doubt that unaffordable housing is almost everywhere and every time caused by the same factor: housing supply restrictions. The more restrictive the market, the more prices will increase over time."

13th AnnualDemographia International Demographia InternationalHousing AffordabilitySurvey: 2017

The press has taken it up:
The least affordable places to live in 2017 - CNN.com

Next door, things look really bad:

A "severely unaffordable" market in previous surveys, the area of Bournemouth & Dorset is the 10th most expensive place to live around the world.

The 10 most expensive cities to live in around the world in 2017 | The Independent

But Devon has crept up the scales to become pretty bad:


“SEVERELY UNAFFORDABLE HOUSING” IN DEVON

25th JAN 2017

“… The United Kingdom has a seriously unaffordable major market Median Multiple ranking of 4.5 in 2016 and a severely unaffordable Median Multiple of 4.6 overall.

None of the United Kingdom’s 21 major housing markets are classed as affordable according to Demographia.

Six major markets in the UK are classed as severely unaffordable including; Bournemouth and Dorset,

Plymouth and Devon,

the London Exurbs (East and Southeast England, virtually all outside the London greenbelt), Bristol-Bath, Liverpool and Merseyside, and Warrington and Cheshire. “

“Severely unaffordable housing” in Devon | East Devon Watch

With the full report from the Express & Echo:


Devon is one of least affordable places in the world to buy a house

By Neil_Shaw | Posted: January 25, 2017

Comments (1)

Devon is one of the least affordable places to live in the world, a new study has revealed.

The Demographia International Housing Affordability Survey 2017 has rated middle-income housing affordability in 378 markets in nine countries around the globe and the area of Plymouth and Devon has been revealed as one of the worst.

Based on the survey, the median house price for Devon is £215,000 and the median income is £30,400 which means house prices are roughly seven times the average annual wage.

Demographia use the 'Median Multiple' to calculate their rankings which is the median house price divided by the median household income.

The United Kingdom has a seriously unaffordable major market Median Multiple ranking of 4.5 in 2016 and a severely unaffordable Median Multiple of 4.6 overall.

None of the United Kingdom's 21 major housing markets are classed as affordable according to Demographia.

Six major markets in the UK are classed as severely unaffordable including; Bournemouth and Dorset, Plymouth and Devon, the London Exurbs (East and Southeast England, virtually all outside the London greenbelt), Bristol-Bath, Liverpool and Merseyside, and Warrington and Cheshire.

The most affordable major UK market is Leeds and West Yorkshire.

Globally, Hong Kong is the most expensive place to live in the world, with house prices 18 times higher than incomes.

Oliver Hartwich, executive director of The New Zealand Initiative, said: "The 'median multiple' is not a perfect measure because it does not account for house sizes or build quality.

"But it is the only index that allows a quick comparison of different housing markets, and it is the best approximation of housing affordability measures we have to date.

"Demographia's reports and countless other surveys and studies do not leave the slightest doubt that unaffordable housing is almost everywhere and every time caused by the same factor: housing supply restrictions. The more restrictive the market, the more prices will increase over time."


Devon is one of least affordable places in the world to buy a house | Exeter Express and Echo
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