Would-be buyers looking to purchase a one-bedroom property in exclusive postcodes near a tube or rail station in London need to be earning close to or more than £200,000 a year.
New figures suggest buyers looking for a one-bedroom home near Knightsbridge tube station need to be raking in more than £248,000 a year from their job.
To secure a property near Hyde Park Corner, Mansion House or Bond Street tube stations buyers need to be pocketing well over £173,000 a year, the findings add.
ZOOM IN ON THE MAP BELOW TO FIND OUT WHERE YOU CAN AFFORD TO LIVE
The figures by TotallyMoney reveal that people with average salaries of around £28,000 to £31,000 a year, including nurses and firefighters, would be able to afford just 2 per cent of locations near transport hubs in the capital, with many of those being a fair distance from central areas.
Sales assistants on average salaries of around £16,000 a year would be priced out of the capital entirely, the research claims.
For those with deep pockets, however, the capital’s property market opens up considerably.
The authors of the research suggest the Prime Minister and Mayor of London, who earn around £153,000 and £143,000 respectively, have over 92 per cent of all locations surveyed at their disposal.
The findings throw the state of the UK’s housing market into sharp focus, with Prime Minister Theresa May under pressure to deliver more affordable homes, particularly in the capital.
Pricey: People with a one-bedroom flat in Knisghtsbridge need to earn nearly £250k a year
While a way out from central London, buyers willing to commute from Newbury Park on the Central Line can snap up a one-bedroom home property while earning just shy of £17,500 a year, the research suggests.
Redridge, Oakbridge, Upley and Croxley offer similarly affordable options for buyers earning less than £22,500 a year. The average value of a one-bedroom home near a transport hub in these areas is £185,000 or less.
For those earning around £28,000 a year, a one-bedroom flat in Dagenham East or Dagenham Heathway are realistic options. Again, however, this is not close to the centre of London. It takes around 50 minutes to get from Dagenham East to Oxford Circus via the tube.
Eight out of the 10 cheapest locations near transport hubs are in east London, with stations on either the District or Central line.
More affordable: Buyers on a budget could opt for a one-bed home near Newbury Park
Mark Moloney, TotallyMoney’s head of brand and marketing communications said: ‘While our map can help prospective buyers find affordable areas in London , what our research shows is that, even if you can save enough for the deposit, your options are even more limited than you might suspect.
‘What’s more, the research considers one-bedroom properties only, meaning those with families or those hoping to start a family will have even fewer options available to them.’
The research takes the median price of one-bedroom properties available within one kilometre of each station and assumes the buyer will pay a 10 per cent deposit and spend 40 per cent of their annual gross earnings going on monthly repayments on a 25 year mortgage. Income tax and national insurance contributions have been factored in for all tax bands.
Posh: Knighstbridge is home to the upmarket department store group Harrods – and you’ll need deep pockets to live there
Even though there are some stations where buying a home is affordable, this is largely due to their distance from central London.
Recent data from HM Revenue & Customs claims those with incomes over £70,000 are among the top 5 per cent of earners in the UK.
For 10 out of the 12 tube lines in London, you would need to be in the top 5 per cent band to be able to afford a home in one of these areas.
Last month, data from the Office for National Statistics revealed that the average cost of a home in London was £485,000 in July, compared to a national average of £231,000.
Average weekly pay packets are around £520 a week, recent data from the ONS shows.
Earning enough: People earning the same as Theresa May can afford to live in most parts of London
Variations: How much you need to be earning on average to live near London’s tube lines