Lloyds: House price affordability hits 11-year high

The gap between earnings and house prices has fallen to an 11-year low, but higher mortgage costs continue to squeeze buyers.The average UK home now costs 7.3 times median earnings, down from 7.6 in 2025 and at its lowest point since 2015, according to new research by Lloyds Bank.Lloyds data showed the average UK house price rose by 0.5% to £299,131 between the second quarter (Q2) of 2025 and Q2 2026, while median earnings went up by 4.5% to £40,790 over the same period.But higher mo