The areas right next door to Britain’s poshest postcodes where homes are £230k less and you can still live life of Riley

LOCATION is everything when it comes to finding good value for your money as a homebuyer. But you don’t have to move to the middle of nowhere to find an affordable home… you just have to know where to look. Hampstead in London is one of the most desirable areas in the UK – but there’s better value right next door Credit: Getty Whitley Bay on the north east coast of England also has a hidden gem next-door neighbour Credit: Getty In fact, you can save over £230,000 by looking right next door to Britain’s poshest postcodes, according to new research by Lloyds Bank. The bank found that homes in these neighbouring postcodes cost 28% less on average, but in some places like the North East of England they can cost almost half as much. Sign up for the Money newsletter Thank you! Amanda Bryden, head of mortgages at Lloyds, said: “It’s easy to focus on the ‘must-have’ locations when you’re searching for a home, but this research highlights just how much value can sit right next door. “Of course, neighbouring areas aren’t always directly comparable and each will have its own distinctive character, housing stock and local appeal. “But in many parts of the country, looking just beyond the most sought-after postcodes can reveal more affordable options while still keeping buyers close to jobs, transport links, amenities and the communities that matter to them.” These are hidden gem neighbourhoods sitting right next door to Britain’s poshest postcodes – where you could save hundreds of thousands of pounds on your home: Blyth – £162,075 average house price Blyth is an industrial port town on the North East coast Credit: Getty Whitley Bay (NE26) is one of the most desirable areas in the North East of the country, with homes in the seaside town costing £304,022 on average. But right next door is Blyth (NE24), where homes cost just half the price. Most read in Money The average house price in the industrial port town is £162,075 – a £141,947 or 47% less than its pricey neighbour. You’ll still be on the coast, and it’s less than 20 minutes by car to nearby Whitley Bay. South Luton – £351,742 An aerial view of Luton at sunset Credit: Getty In the East of England in Harpenden, Kinsbourne Green (AL5), house prices are well above average at £587,884. But drive 10 minutes down the road and you’ll find far better value in South Luton and the surrounding areas (LU1). Here, average house prices are £351,742. That’s a whopping £236,142 – or 40%- saving. You’ll be close to major transport hubs like Luton railway station and Luton Airport Parkway, as well as lots of schools and green spaces. Wellesbourne/Kineton – £343,030 The white bridge crossing the River Dene on the outskirts of the village of Wellesbourne Credit: Alamy In the West Midlands, Leamington Spa and the areas around it (CV32) come with a price tag of £392,988 on average. But you can knock £49,958 – or 13% – off the price of your new home by looking in CV35, which encompasses Wellesbourne and Kineton. Prices in this postcode are £343,030 on average – and it’s less than a 20 minutes drive away from Leamington Spa. Cricklewood/Dollis Hill – £546,348 Gladstone Park in Dollis Hill, London, in late springtime Credit: Alamy One of London’s most expensive postcodes is NW3, which takes in Hampstead and Belsize Park. It’s one of the poshest areas in the whole country, and average house prices here are a whopping £778,767. But cross into neighbouring NW2 – areas like Cricklewood and Dollis Hill – and the picture is very different. You’ll find a mix of period properties and new developments attracting first-time buyers and families – but at far cheaper prices. Average house prices in this area are £546,348, meaning buyers could pay £232,419 less compared to neighbouring NW3 – a saving of around 30%. Gorgie/Stenhouse, Edinburgh – £299,315 There’s some great value to be found in Edinburgh just outside the centre of the city Credit: Getty In Scotland, the most expensive postcode is EH3, which covers central Edinburgh, including the West End. Homes in this sought-after part of the city comes with an average price tag of £374,650. But over in neighbouring EH11, in areas like Gorgie and Stenhouse, you’ll find far better value for money. According to Lloyds, this part of the city has long been popular with buyers looking for value within easy reach of Edinburgh’s centre. With an average price of £299,315, homebuyers here could pay £75,335 less compared to neighbouring EH3 – a saving of 20%. Barry/Cadoxton, Wales – £260,234 Barry, Vale of Glamorgan, in Wales Credit: Getty In Wales, CF64 is the most expensive postcode, which includes Penarth, Dinas Powys and Sully. With coastal views, an attractive seafront and close transport links to Cardiff, it remains one of the most sought-after areas in the country, with average prices reaching £342,753. But just next door is CF63, which covers Barry, including Cadoxton and Barry Docks. The area combines seaside living with more affordable housing, and has seen growing interest from buyers looking for value within commuting distance of the Welsh capital. With an average price tag of £260,234, buyers here could pay £82,519 less compared to neighbouring CF64 – a saving of around 24%. Full list - the areas next to Britain's poshest postcodes where you can save over £230,000 on a home Eastern England AL5, Harpenden, Kinsbourne Green, £587,884 LU1, South Luton and surrounding areas, £351,742 Potential saving, £236,142, 40% East Midlands NN12, Towcester and surrounding areas, £360,453 NN11, Daventry and surrounding areas, £300,112 Potential saving: £60,341, 17% London NW3, Hampstead, Belsize Park and surrounding areas, £778,767 NW2, Cricklewood, Dollis Hill and surrounding areas, £546,348 Potential saving: £232,419, 30% North East NE26, Whitley Bay, Seaton Sluice, £304,022 NE24, Blyth and surrounding areas, £162,075 Potential saving: £141,947, 47% Northern Ireland BT4 East Belfast (Sydenham, Belmont, Stormont), £278,143 BT16, Dundonald and surrounding areas, £247,068 Potential saving: £31,075, 11% North West WA14, Altrincham, Bowdon and surrounding areas, £403,621 M31, Carrington, Partington, £280,616 Potential saving: £123,005, 30% Scotland EH3, Central Edinburgh, including the West End, £374,650 EH11, Gorgie, Stenhouse and surrounding areas, £299,315 Potential saving: £75,335, 20% South East KT6, Surbiton, Tolworth, £625,840 KT9, Chessington, Hook, £453,441 Potential saving: £172,399, 28% South West BS8, Clifton, Hotwells and surrounding areas, £510,864 BS20, Portishead, Pill, £385,281 Potential saving: £125,583, 25% Wales CF64, Penarth, Dinas Powys, Sully, £342,753 CF63, Barry (including Cadoxton and Barry Docks), £260,234 Potential saving: £82,519, 24% West Midlands CV32, Leamington Spa (north) and surrounding areas, £392,988 CV35, Wellesbourne, Kineton and surrounding areas, £343,030 Potential saving: £49,958, 13% Yorkshire and the Humber YO23, York South Bank and surrounding areas, £378,295 YO8, Selby and surrounding areas, £243,001 Potential saving: £135,294, 36% Comment now