But average salary for 20 to 24-year-olds is £16,400, according to HMRC

Young homebuyers are being shut out of the property market as they need to more than double their earnings to borrow enough to pay for an average starter house, according to new analysis.

The average price paid for a starter home rose by 5.1 per cent to £211,000 in May, according to the office for National Statistics. Given an average first-time buyer deposit of 17 per cent, that means a borrowing about £175,000.

As most mortgage lenders will not go higher than 4.5 times salary in terms of the size of the loan, that would require earnings of £38,917 a year, according to Which? But the average salary for 20 to 24-year-olds is £16,400, according to HM Revenue & Customs, meaning they would need to earn an extra £22,517 to afford such a home.

Out of reach: 20 to 24-year-olds need to earn an extra £22,517 to qualify for a mortgage

Putting together a mortgage deposit is one of the hardest aspects of buying a home, although some lenders have launched mortgages for those with small deposits.

Tesco recently climbed the best-buy tables with two and five-year fixed deals for borrowers with just 5 per cent deposit at a rate of 4.19 per cent and 4.69 per cent respectively.

But the reality is that with prices edging higher– Nationwide today showed the price of the typical home in the UK in July rose by 3.5 per cent to a new all-time high of £195,621 – young people find it increasingly difficult to get on the ladder.

This is reflected in the age at which people buy their first home: from 28 years old in 1995 to 31 this year, according to recent Halifax figures.

The outlook is only slightly brighter for 25 to 29-year-olds, who earn £22,700 on average.

First-time buyers: House prices vs salaries

The average deposit of 17 per cent works out at almost £36,000 on a £211,000 home - a tall order given the salaries under-30s earn.

Meanwhile, even people aged between 30 and 34 years old, who on average have salaries of £28,900, would need to earn an extra £10,017 to qualify for a mortgage.

Although there are home loans available for those with small deposits, new mortgage regulations introduced in 2014 have made it harder for homebuyers to obtain mortgages.

A couple with two incomes buying a home together can add up their salaries to ask for larger mortgages.

First-time buyers: The average price paid for a starter home rose by 5.1 per cent to £211,000 in May

But following the Mortgage Market Review lenders now conduct a more detailed affordability assessment to decide how much they will lend and have some restrictions on income multiples.

Housing market experts have said that ultra-low mortgage rates and the improving economy are helping to support demand, while a lack of supply of homes coming on to the market is adding to an upward pressure on house prices.

The average UK property value now sits at £274,000 according to the Office for National Statistics, which is equal to the index peak reached in August last year.

According to historic ONS data, house prices were £217,000 in May 2008, before falling to a low of £187,000 in March 2009.