There are a number of Local Authorities within 90 minutes from London affected by the cost of capital repayments. This additional cost means, relative to the cost of renting, they shift from being some of the least expensive areas to buy on an interest only mortgage to some of the most expensive on a capital repayment mortgage.

For example, in the Local Authority of Windsor and Maidenhead the capital repayment costs mean it is £3,500 per annum more expensive to own a two-bedroom property than it is to rent, whereas under an interest only mortgage it would be £1,700 cheaper (see map and tables opposite).

Taken from
Special Report: Renting vs Buying