People living in Leicester already know the city is a fantastic place to live, full of history and culture and extremely diverse. The people here aren’t too shabby either. But, what’s the economic sense of moving to Leicester? Would your bank manager support your decision to make the move?

Recent data suggest the answer is a resounding “yes”. New data from Numbeo says you’ll only need just £2’700 to enjoy good living standards in Leicester, whilst in London, you’d need around £4’100.

The data also shows there’s a major disparity between Consumer Goods prices, including rent. In Leicester, the overall costs are 34.13% cheaper than they are in the capital and rent alone is up to 60% lower! On average, your weekly shop will cost more than 12% in Leicester than it will in London and the South East and for Leicester residents, your purchasing power will be nearly 31% higher than those living down south.

Comparing living in Leicester to our neighbour, Nottingham, we can see how financially advantageous it can be to live here. Between the two cities, consumer prices are 1.02% less overall, whilst eating out at a restaurant in Leicester costs around 7.4% less and groceries are up to 17% cheaper overall. Local purchasing power for Leicester residents is still quite a lot higher than it is in Nottingham at 7.15%.

To put these financial benefits into perspective, just look at the savings that can be made every day of the week in Leicester compared with the capital, for example:

  • A beer will cost you 12% less.
  • A bottle of Coke will be more than 13% cheaper.
  • A three-course meal for two at a mid-range restaurant will be up to 75% cheaper.
  • You are likely to spend at least 12 pence less on a cappuccino in Leicester. And;
  • You will pay almost a quarter less for a bottle of water.

Getting around our city can be a breeze on the bus and you’ll likely opt for a monthly travel pass with a hefty 77% saving over the price of a monthly bus pass in London, and a taxi will be up to 63% cheaper! In terms of rent, you would have to pay £1’000 a month or more extra for a one-bedroom apartment or studio apartment in the centre of London than you would for an identical property in the heart of Leicester city centre. Outside of the Leicester city centre, the same property would be more than £750 less than in the capital. These are big savings when you consider that the average monthly disposable income after tax of a person in Leicester is just 13.89% or £210 per month less than it is in London.

These benefits do not just apply to people looking to let properties, either, as mortgage interest rates are also around 1.44% lower in Leicester than elsewhere in the country. There is also the actual price of properties to consider. The average price per square metre of a city-centre apartment in Leicester is almost 77% lower than in London. A similar apartment outside the centre would cost you almost 66% less.

House Prices in Leicester

For buyers, the current average asking price in Leicester is £231,738. The table, below, shows how many properties have sold in Leicester over the past 12 months, the average sale price and the current average value based on Zoopla’s data.

Average house prices in Leicester over the last 12 months (to June 2019). Source: Zoopla

Average house price in Leicester over the last 12 months (to June 2019). Source: Zoopla

Average Rent in Leicester

Average asking rents for homes in Leicester is currently  £868 per month. Renters will need to budget £803 per month for a two-bedroom flat and £1,208 for a four-bedroom house. Of course, this does fluctuate over time and rents are due to increase significantly over the next year. It’s never been a better time to be a landlord!

Average rents in Leicester over the last 12 months (to June 2019). Source: Zoopla

Average rents in Leicester over the last 12 months (to June 2019). Source: Zoopla

If you are considering a move, speak to Harry Albert Lettings & Estates in Leicester, and see why we love this city! Whether you’re renting or buying in Leicester, call us on 0116 321 4970, and benefit from our local knowledge and expert property advice.