First-Time Buyers’ Guide to the North East: Navigating the Market

Buying your first home is an exciting milestone, but it can also feel overwhelming — especially in a changing market. The good news is that the North East of England remains one of the most affordable regions in the UK, offering first-time buyers a realistic route onto the property ladder without compromising on lifestyle or long-term growth.

This guide is designed to help first-time buyers understand the local market, budget confidently, secure the right mortgage, and identify the best areas to buy in 2025.

Why the North East Is Ideal for First-Time Buyers

Compared with national averages, the North East continues to stand out for value. According to the latest regional data:

• The average property price in the North East is around £201,900

• House prices have increased by around 3–4% over the past 12 months

• Over the last decade, prices have risen by over 35%, showing steady long-term growth

• Rental prices have also increased, reinforcing strong demand across the region

For first-time buyers, this combination of affordability and proven growth is key. You’re not just buying a home — you’re making a long-term investment in an area with solid fundamentals.

Budgeting: What Can You Afford?

Before viewing properties, it’s important to understand your true buying budget. This includes more than just the purchase price.

Typical costs to plan for:

• Deposit – Often 5–10% for first-time buyers (some schemes allow lower)

• Mortgage fees – Arrangement and valuation costs

• Legal fees – Conveyancing, searches and Land Registry

• Survey costs – Especially important on older North East housing stock

• Moving costs – Furniture, removals and initial setup

One advantage of buying in the North East is that stamp duty is often minimal or zero for first-time buyers, depending on purchase price — freeing up funds for furnishing or future improvements.

Mortgage Advice for First-Time Buyers

Securing the right mortgage is just as important as choosing the right property.

A mortgage broker can:

• Assess affordability across multiple lenders

• Identify first-time buyer products and incentives

• Explain fixed vs variable rates in simple terms

• Help strengthen your application before submission

Many first-time buyers in the North East use 95% loan-to-value mortgages, particularly on properties below the regional average price point.

Getting an Agreement in Principle (AIP) before viewing homes will also put you in a stronger position when making an offer.

Best Areas in the North East for First-Time Buyers

The North East offers a wide variety of locations to suit different lifestyles and budgets. Choosing the right area is often more important than the property itself.

Durham & County Durham

Ideal for buyers seeking character, green space and strong resale potential. Areas such as Gilesgate, Sacriston, Chester-le-Street and surrounding villages offer good value while remaining close to Durham City.

South Tyneside

Locations like South Shields, Jarrow and Hebburn are popular with first-time buyers due to coastal access, improving town centres and good transport links. These areas also offer strong long-term rental demand.

Sunderland

Sunderland remains one of the most affordable cities in the UK. Areas close to transport hubs and regeneration zones appeal to buyers looking for value and future growth.

Teesside

Middlesbrough and Stockton-on-Tees attract buyers prioritising affordability. Ongoing regeneration projects mean some locations offer strong upside potential over the medium term.

Understanding the Buying Process

For first-time buyers, understanding the process removes a lot of stress:

1. Get mortgage advice and an AIP

2. View properties and research sold prices

3. Make an offer and negotiate

4. Instruct a solicitor

5. Arrange surveys

6. Exchange contracts

7. Complete and collect keys

Working with a local estate agent who understands North East pricing trends can help you avoid overpaying and identify properties with the best long-term value.

Tips for First-Time Buyers in 2025

• Don’t focus only on asking prices — look at recent sold data

• Be flexible on décor; cosmetic updates can add value later

• Consider future resale appeal, not just today’s needs

• Ask about service charges, ground rent and energy efficiency

• Factor in rising utility and maintenance costs

The North East market remains competitive in popular price brackets, so being well-prepared makes a real difference.

Final Thoughts

The North East continues to offer one of the strongest environments in the UK for first-time buyers. With affordable entry points, improving infrastructure and steady long-term growth, it provides a solid foundation for home ownership.

Whether you’re buying in Durham, Tyne & Wear, Sunderland or Teesside, the key is understanding local market conditions and getting the right advice from the start.

North East Property works closely with first-time buyers across the region, offering honest guidance, local insight and support throughout the buying process.
If you’re ready to start your journey, get in touch for tailored advice and local property opportunities.