One in five homes has 'earned ' more than its owner over the past two years , a study shows . House prices have increased by as much as 40 per cent in some areas in the past two years as the market has recovered , while pay rises have stagnated . Now research shows that in a fifth of local council areas , the average rise in property prices in 2013 and 2014 exceeded the take-home pay of an average employee . Halifax , part of Lloyds Banking Group , found that homes had earned more than the people living in them in 73 out of 384 local authorities . Sixty-eight of these council areas were in London , the South East , and the East of England . There were only five examples of homes 'out-performing ' earnings in Wales , the South West and the East Midlands , and none in the North East , the North West , the West Midlands , or Scotland . The most dramatic example was in Hammersmith and Fulham , where house prices rose by £143,232 more than their owners earned over the two-year period . Homes in the London borough went up by £199,930 – or 40 per cent – in 2013 and 2014 , easily exceeding average take-home earnings in the area of £56,698 for the two years . This was closely followed by three other London boroughs : Wandsworth , where houses earned £102,760 more than their owners over the two years ; Ealing ( £90,401 ) ; Kensington and Chelsea ( £89,642 ) . High rises : Houses like these in Hammersmith and Fulham have seen the biggest rise in value over the last two years ( stock image ) How they stand : Hammersmith and Fulham top the chart for property price rises in 2013 and 2014 with some homes increasing by nearly £200,000 . Eight London boroughs appeared in the top ten for house price rises outstripping wages . The other two were Elmbridge , in Surrey , and South Buckinghamshire . Council areas in the East of England – in Hertforshire , Cambridgeshire and East Anglia – dominated the top ten outside London and the South East for house price rises outstripping wages . Martin Ellis , housing economist at Halifax , said : 'This is good news for some homeowners . At the same time , it is challenging news for those looking to buy their first home in such areas , with prices being pushed out of range for many young people . ' Campbell Robb , of housing charity Shelter , said : 'This will come as no surprise to the millions of young people and families struggling to scrape together enough to afford a home of their own . 'With the Government 's own figures showing the cost of a home is now ten times the average wage , it 's no wonder that having a place to put down roots is becoming a fantasy for many . '
Property price rises in fifth of council areas exceed average earnings . Homes earned more than people living in them in 73 out of 384 authorities . London , South East and East of England home to 68 of the areas . Good for homeowners but bad news for people not on property ladder .