Cash buyers quids in vs mortgage counterparts due to Brexit uncertainty

February 19, 2020

The latest research by estate agent comparison site, GetAgent.co.uk, has found that cash is still king when it comes to securing the best price on a property.

GetAgent.co.uk looked at the average price paid by cash buyers over the last 12 months and how this compared to that paid by buyers funded via a mortgage to see what the difference was and how this varied regionally across the UK.

The data shows that across the UK the current average price paid by cash buyers over the last year is £220,100, -9% cheaper than the average price paid by buyers with a mortgage (£240,758).

This gap is the highest in the North East and North West, where properties bought with cash go for -12% less, while London is the only region where cash will cost you more, 6% more than the average price paid by a mortgage buyer.

Falkirk is home to the best cash bargains in Britain with cash sales seeing a -24% discount compared to mortgage funded purchases. North Lanarkshire and Renfrewshire (-21%) are also home to some of the biggest differences, with Hartlepool seeing the biggest cash discount in England at (-21%).

The Isle of Anglesey is home to the highest cash property price when compared to mortgage prices coming in 11% higher, with the Western Isles and Breckland also amongst the highest prices paid when comparing cash to mortgage.

In London, Sutton is the best borough for a cash buyer with an average price of £346,516 compared to £382,100 – a -9% reduction.

Redbridge, Enfield. Bexley and Harrow also rank high for cash discounts, while Merton is home to an average cash property price some 7% higher than the average mortgage purchase price, along with Westminster.

Founder and CEO of GetAgent.co.uk, Colby Short, commented: 

“Cash is always king when it comes to pretty much any transaction and this doesn’t change just because you’re buying a house. In fact, it becomes even more pertinent.

Cash buyers are preferable to many sellers because they provide a much simpler transaction with fewer hoops to jump through and often come without a complicated chain. The flip side of this convenience is that cash buyers have a far stronger position when it comes to negotiations and often sellers will accept a more sizeable reduction for the speed and convenience of a cash sale.

While this is nothing new, it has become more prevalent in recent times due to a few factors.

Brexit uncertainty over the last year has left many on the fence and so those that are looking to sell have had to do so with a lower price expectation due to a dwindling level of buyer interest. Therefore, finding the golden ticket of a cash buyer with honest intentions in a market slowdown has prompted an even greater tendency to sell with a greater cash discount in order to get a sale over the line.

At the other end of the transaction scale, the continued affordability of borrowing money due to low interest rates has seen many aspirational buyers commit to a greater sum than they may have otherwise.

Of course, the cat and mouse game of a lower bid during the offer stage happens regardless of how a buyer may be funded, but with mortgage buyers already starting at a higher price point in terms of the sum they’ve been approved for, the final price paid has been greater than it may have been in different circumstances.”

Average House Prices – Cash vs Mortgage in the last 12 months nationally
Location
Cash Ave Price
Mortgage Ave Price
Difference – cash vs mortgage (%)
England
£232,727
£254,702
-9%
Wales
£159,200
£166,536
-4%
Scotland
£139,782
£157,144
-11%
Great Britain
£220,100
£240,758
-9%
Average House Prices – Cash vs Mortgage in the last 12 months regionally
Location
Cash Ave Price
Mortgage Ave Price
Difference – cash vs mortgage (%)
North East
£118,204
£135,005
-12%
North West
£151,773
£171,553
-12%
East of England
£276,380
£297,925
-7%
South East
£308,459
£329,475
-6%
West Midlands Region
£190,330
£202,509
-6%
Yorkshire and The Humber
£157,170
£166,653
-6%
East Midlands
£186,799
£196,680
-5%
South West
£253,595
£258,484
-2%
London
£494,048
£465,291
6%
Biggest Cash discount vs Mortgage in the last 12 months by area
Location
Cash Ave Price
Mortgage Ave Price
Difference – cash vs mortgage (%)
Falkirk
£102,185
£134,573
-24%
North Lanarkshire
£90,064
£114,092
-21%
Renfrewshire
£103,098
£129,729
-21%
Hartlepool
£94,472
£118,384
-20%
East Renfrewshire
£194,172
£240,863
-19%
East Dunbartonshire
£182,334
£224,139
-19%
Preston
£111,857
£135,453
-17%
Middlesbrough
£98,999
£119,675
-17%
Burnley
£75,983
£91,579
-17%
St Helens
£115,722
£138,587
-16%
South Lanarkshire
£114,184
£134,220
-15%
Warrington
£173,576
£203,534
-15%
City of Dundee
£110,831
£129,897
-15%
Solihull
£254,089
£297,425
-15%
Warwick
£278,412
£324,713
-14%
South Tyneside
£119,992
£139,637
-14%
Newport
£165,475
£192,541
-14%
City of Glasgow
£120,113
£139,695
-14%
East Ayrshire
£86,753
£100,678
-14%
Darlington
£118,361
£137,050
-14%
North Ayrshire
£98,771
£113,986
-13%
Sefton
£153,540
£176,946
-13%
West Dunbartonshire
£94,531
£108,788
-13%
West Lothian
£145,616
£167,433
-13%
Liverpool
£122,448
£140,719
-13%
Biggest Cash increase vs Mortgage in the last 12 months by area
Location
Cash Ave Price
Mortgage Ave Price
Difference – cash vs mortgage (%)
Isle of Anglesey
£187,624
£169,726
11%
Na h-Eileanan Siar
£124,948
£113,682
10%
Breckland
£235,656
£217,415
8%
Shetland Islands
£167,983
£155,261
8%
Powys
£194,468
£179,878
8%
Torridge
£241,400
£224,908
7%
Herefordshire
£244,863
£229,297
7%
Merton
£536,473
£502,970
7%
City of Westminster
£987,828
£926,203
7%
Boston
£161,596
£151,769
6%
North Devon
£253,846
£238,638
6%
Ceredigion
£190,535
£179,818
6%
North Norfolk
£261,432
£246,941
6%
North Dorset
£267,410
£253,102
6%
Richmondshire
£216,320
£205,870
5%
South Somerset
£235,334
£224,159
5%
Isle of Wight
£223,934
£213,683
5%
Forest Heath
£226,805
£216,465
5%
Ashford
£305,564
£292,157
5%
South Holland
£193,814
£185,777
4%
Islington
£649,589
£624,748
4%
Eden
£202,558
£194,814
4%
Carmarthenshire
£150,654
£145,101
4%
Fenland
£192,993
£185,891
4%
Babergh
£292,594
£282,279
4%
Average House Prices – Cash vs Mortgage in the last 12 months in London
Location
Cash Ave Price
Mortgage Ave Price
Difference – cash vs mortgage (%)
Sutton
£346,516
£382,100
-9%
Redbridge
£392,932
£420,773
-7%
Enfield
£375,037
£398,963
-6%
Bexley
£323,356
£342,604
-6%
Harrow
£432,749
£455,916
-5%
Hillingdon
£392,937
£411,128
-4%
Kingston upon Thames
£472,204
£493,198
-4%
Greenwich
£377,913
£394,101
-4%
Bromley
£427,158
£441,345
-3%
Croydon
£355,617
£367,236
-3%
Havering
£356,536
£367,848
-3%
Camden
£829,016
£854,702
-3%
Barnet
£511,798
£525,628
-3%
Lewisham
£400,577
£411,344
-3%
Richmond upon Thames
£640,203
£656,845
-3%
Haringey
£540,425
£550,201
-2%
Barking and Dagenham
£296,650
£301,062
-1%
Lambeth
£504,599
£508,825
-1%
Brent
£479,871
£483,288
-1%
Kensington And Chelsea
£1,261,638
£1,264,513
0%
Hammersmith and Fulham
£723,700
£725,180
0%
Wandsworth
£585,464
£586,243
0%
City of London
£786,587
£787,356
0%
Hackney
£559,199
£558,878
0%
Hounslow
£402,878
£400,622
1%
Southwark
£501,744
£495,945
1%
Waltham Forest
£437,310
£431,306
1%
Ealing
£480,944
£473,899
1%
Tower Hamlets
£441,058
£433,981
2%
Newham
£373,026
£359,891
4%
Islington
£649,589
£624,748
4%
City of Westminster
£987,828
£926,203
7%
Merton
£536,473
£502,970
7%

Properganda PR

National and local media coverage for property businesses. Journo quotes delivered in minutes.

You May Also Enjoy

Breaking News

Property values climb in Q1

The latest Property Market Index Review by London lettings and estate agent, Benham and Reeves, has revealed that the property market lost momentum during the first quarter of 2026, with house prices showing signs of recovery following the previous quarter’s fall.   The Benham and Reeves Market Index Review The Benham and Reeves Property Market Index…
Read More →
Breaking News

Propertymark backs move to commonhold

Propertymark has welcomed proposals from the Ministry of Housing, Communities and Local Government to phase out the sale of new leasehold flats in England and Wales, while warning that the transition to commonhold must be carefully managed to avoid market disruption and consumer confusion. Responding to the UK Government’s consultation on “Moving to commonhold: banning…
Read More →
Letting Agent Talk

Phasing out leasehold flats is the right thing to do

Propertymark has welcomed UK Government proposals to ban the sale of new leasehold flats and replace them with a commonhold system designed to give homeowners greater control over their properties. Responding to a consultation launched by the Ministry of Housing, Communities and Local Government, Propertymark said the reforms could help tackle many of the long-standing…
Read More →
Letting Agent Talk

Deposit Disputes Are Rising – Are Baths to Blame?

Interior Designers Say Acrylic Baths Are the Hidden Culprit in Family Rentals Deposit disputes over bathroom damage are rising, and acrylic bath surfaces are the overlooked culprit. Acrylic baths are often marketed as lasting 10 to 15 years or more, yet designers say many start to look tired in busy family homes within just a…
Read More →
Breaking News

Inheritance tax haul grows as more families are dragged into the tax net

Inheritance tax receipts got off to a slightly slower start in the first month of the 2026/27 tax year, but the figures still underline how rapidly the tax burden on estates continues to grow. HM Revenue & Customs (HMRC) collected £0.7 billion in inheritance tax in April, £65 million less than during the same month…
Read More →
Breaking News

The 10 biggest homebuyer turn-offs

From overgrown gardens to nightmare neighbours, homeowners across Britain could be knocking tens of thousands of pounds off the value of their property before a buyer even makes an offer.   New insight from House Buyer Bureau reveals the most common homebuyer turn-offs that could be thwarting your chances of making a sale, and the…
Read More →