How much would you save if you bought next door in Britain?

The most desirable postcodes in the UK can have very high property prices, but nearby properties can be much less expensive

According to a recent Lloyds analysis, homebuyers could save up to 47% on the price of their ideal home by searching for properties in nearby postcodes.

Those who want to purchase a home in some of the most desirable postcodes in the UK are forced to pay a premium for location, but you might be able to save hundreds of thousands of pounds by looking at properties that are just outside the boundaries.

According to the study, properties in postcodes close to the most desirable locations are typically 28% less expensive than their counterparts, and in many cases, this difference is even greater.

The largest savings, for instance, are available to purchasers in the Northeast. The average house price in the nearby port town of Blyth is only 162,075, a savings of 47%, or 141,947, compared to 304,022 in the seaside town of Whitley Bay.

Watch the entire video here. Lloyds' head of mortgages, Amanda Bryden, stated: "When looking for a home, it's easy to concentrate on the must-have locations, but this research highlights just how much value can sit right next door."

Even though these homes are located in less desirable neighborhoods, they have the advantage of being substantially less expensive, which makes them much more accessible while still being near upscale neighborhoods. Those who are attempting to climb the property ladder may find this particularly useful.

"Of course, neighboring areas aren't always directly comparable, and each will have its own distinctive character, housing stock, and local appeal," Byden continued. However, in many regions of the nation, searching just a little bit beyond the most popular postcodes can turn up more reasonably priced options while still keeping purchasers close to employment, transportation, amenities, and the communities that are important to them."

Which area offers the largest postcode discount?

You can find discounts all over the nation by looking in nearby postcodes.

You can still find significant savings elsewhere in the UK, but the difference between Whitley Bay and Blyth is the largest example by percentage.

For instance, by switching postcodes, consumers who shop in South Luton and the surrounding Eastern England areas instead of the more expensive Harpenden could, on average, save the most money.

The average cost of a home in the South Luton LU1 postcode area is 351,742, compared to 587,884 in Harpenden. This indicates a price difference of 236,142, or 40%, between postcodes.

Similarly, in Greater London, relocating to Cricklewood in the capital's NW2 postcode instead of NW3, which includes Hampstead, Belsize Park, and surrounding areas, could save buyers 232,419 (30%).

Northern Ireland, on the other hand, has the lowest savings. The BT4 postcode, which includes East Belfast, and the BT16 postcode, which includes Dundonald and the surrounding areas, have the biggest postcode difference.

The average cost of a home in the BT4 postcode is 278,143, while in the BT16 postcode it is 247,068. This represents a potential savings of 31,075, or 11%.

The nearby postcodes where consumers can find the largest discounts in each UK region are displayed in the table below.

Swipe to move horizontally. Source: Lloyds, July 27.