Owning a home is now cheaper than renting in all parts of the UK – once you can actually get on the housing ladder.

The claim comes from Santander which says households could save £2,268 a year if they were able to purchase a property rather than rent.

This is based on HomeLet data showing that the average monthly rent in the UK is currently £912 per household, compared with monthly repayments of £723 for the average first-time buyer.

This then gives home owners a saving of £189 a month or £2,268 a year compared with renters.

The bank’s research is based on some bold claims, though. It uses Land Registry data to take an average first-time buyer house price of £213,462 and assumes a 76% loan-to-value mortgage at 2.48% with no fees.

There is also a regional breakdown showing the biggest annual savings are in London, at £3,468, while the smallest difference is in the east of England at £516.

There is also the issue of first-time buyers raising a deposit, which Santander puts at £51,905.

Asked how they would raise these funds, one in five said they would consider selling shares in the property, 38% would move back in with their parents while saving for a deposit and 21% said they would give up alcohol to raise the funds.

Miguel Sard, managing director of mortgages at Santander UK, said: “Many first-time buyers understandably focus on the challenge of saving for a deposit and wonder how they will afford a property. However, it is often assumed that when you purchase a property you will be under greater financial pressure, and our research shows the reverse is true.

“Of course, buying a property is a major financial investment with upfront costs to consider, but long-term the financial benefits can be significant.

“With annual savings averaging well over £2,000 this can really mount up over time and of course once the mortgage is paid off you have a valuable asset to show for it.”

UK region

Average rent

Average FTB house price

Average FTB deposit

Average monthly FTB mortgage repayment

Amount better off buying (per month)

Amount better off buying (per year)

London

£1,569

£420,500

£134,660

£1,280

£289

£3,468

Northern Ireland

£629

£131,076

£30,435

£451

£178

£2,136

North West

£689

£149,816

£29,877

£537

£152

£1,824

Scotland

£644

£142,329

£28,311

£510

£134

£1,608

Yorkshire and The Humber

£623

£143,810

£27,527

£521

£102

£1,224

West Midlands

£679

£168,287

£35,207

£596

£83

£996

South West

£799

£212,062

£50,514

£723

£76

£912

South East

£998

£276,807

£67,866

£935

£63

£756

Wales

£596

£146,557

£27,135

£535

£61

£732

North East

£509

£123,189

£22,712

£450

£59

£708

East Midlands

£622

£161,682

£32,816

£577

£45

£540

East of England

£905

£252,158

£59,553

£862

£43

£516

United Kingdom

£912

£213,462

£51,905

£723

£189

£2,268