The study found that the average UK first-time purchase price rose by 9 per cent to £231,455 in 2019, while the average deposit increased by 7 per cent to £46,187.
The greatest percentage growth in the average purchase price was recorded in the North West and Yorkshire, which notched up increases of 9 per cent to £13,475 and £13,132 respectively.
The average first time buyer house price in Yorkshire and the Humber last year was £156,232. The average deposit required from a first time buyer in the region was £27,598.
Despite increasing costs, the overall number of first time buyers in the UK in 2019 remained stable. The figure was up by around 1 per cent from 353,130 in 2018 to 356,767 in 2019. This means that first-time buyers continue to account for more than half of all home purchases, the Halifax said.
Russell Galley, the managing director of the Halifax, said: “Whilst price growth in the overall housing market has been modest in recent years, the level of inflation facing first-time buyers is greater, which compounds the challenge in raising bigger deposits.
“However, given their importance to the market as a whole, it’s reassuring that the overall number of new buyers getting on the ladder remains stable."
Mr Galley added: “This is in part explained by initiatives designed specifically to support this key group, including Help to Buy schemes and family support mortgages, and they also benefit from the continued period of record low interest rates.
“However, it’s clear that more needs to be done to address more fundamental long-term issues, not least the shortage of new, affordable homes being built."
Burnley is now the most affordable area for local first-time buyers – calculated by comparing average earnings to average house prices – with a ratio of 3.1.
Using the affordability measure to track changes, just 10 areas across the UK have become more affordable for first-time buyers over the last decade.
Kensington and Chelsea recorded the biggest improvement in the house price to earnings ratio since 2009, falling from 10.9 to 6.2.
This research is based on data from the Halifax’s own extensive housing statistics database, UK Finance statistics, and ONS data on average earnings.