A Lancashire city has been named one of the cheapest cities to be a first-time buyer and for renting.

Rightmove’s property expert Tim Bannister said: “These latest figures highlight why so many people remain determined to get onto the ladder, as the soaring costs of renting has meant buying has remained attractive even with higher mortgage rates.

“Longer mortgage-terms are becoming more common as a way to improve overall affordability and reduce monthly payments, though first-time buyers should be aware of what they are paying in interest compared with their actual mortgage.

“Without improvements to the supply of good quality, affordable rental homes in Great Britain, owning your own home is likely to continue to be the end-goal for those that can get their deposit together, and borrow what they need to from a mortgage lender.”

Lancashire Telegraph: To get the results, more than 50 cities in Great Britain were analysed by RightmoveTo get the results, more than 50 cities in Great Britain were analysed by Rightmove (Image: Getty)

New analysis from Rightmove has revealed that Preston is among the cheapest to buy a house for first-time buyers as well as to rent.

To get the results, more than 50 cities in Great Britain were analysed.

The research found that the average asking price for a first-time buyer type property (2 bedrooms and fewer) in Preston is £112,273.

The average monthly mortgage payment (per month) is £416 while the average monthly rental payment (per month) is £787. Mortgage versus rent works out at -£371.

Lancashire Telegraph: When it comes to the cheapest cities to rent, both Preston and Lancaster feature in Rightmove’s analysisWhen it comes to the cheapest cities to rent, both Preston and Lancaster feature in Rightmove’s analysis (Image: Getty)

Rightmove added that its monthly mortgage payment figures assume first-time buyers in Scotland and Wales have a 20% deposit and first-time buyers in England have a 25% deposit, based on UK Finance Data on first-time buyer mortgage trends. Repayment is over 35 years.

When it comes to the cheapest cities to rent, both Preston and Lancaster feature in Rightmove’s analysis.

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Lancaster’s average monthly rental payment (per month) is £764 while Preston’s is £787.

The average asking price for a first-time buyer type property (two bedrooms and fewer) in Lancaster is £152,062 while Preston’s is £112,273.

The average monthly mortgage payment (per month) is £564 in Lancaster compared to £416.

Rent versus mortgage in Lancaster is +£200 while in Preston it’s +£371.