How is the Housing Affordability Ratio Measured?
The housing affordability ratio is measured by taking the average house price in an area and dividing that figure by the average earnings value in that same area. This only shows housing ownership affordability, rental affordability is measured differently. Within the North East CA region, as of the 2021 census, 27.7% of people own their house with a mortgage, 22.9% social rent, and 17% privately rent.
The latest housing affordability data
Housing affordability ratios vary by a maximum of 2.12 between the Local Authorities within the North East CA area. Northumberland is the area which has the least affordable houses given the local area earnings, at 6.42. County Durham has the most affordable housing given local earnings at a ratio of 4.3. in the 10 years from 2013-14 to 2023-24 all of the local authorities within the North East CA area have seen their housing affordability ratios decrease.