It’s not very exciting or dramatic, but after Covid and the cost-of-living crisis, it’s a welcome breather.
Below we run through what the major property experts are really saying about 2026 and property prices.
The headline predictions
Halifax: House price growth of 1% to 3% is expected by the UK’s largest lender in 2026, as lower rates mean better buying power. It measured annual growth of 0.7% in 2025, taking the average price to £299,892.
Nationwide: Prices are expected to rise by 2% to 4% in 2026, according to Nationwide. It says improving affordability, easing mortgage rates and steady employment should support modest growth, even as buyers remain cautious. Nationwide expects activity to be driven more by life events than confidence, with first-time buyers continuing to play a key role in keeping the market moving.
Rightmove: Rightmove forecasts average asking prices to rise by around 2% in 2026, following a subdued end to 2025. It says improved affordability, a strong choice of homes for sale and a post-Budget recovery in confidence should support steady price growth, particularly outside London and the South East.
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Hamptons: Hamptons expects house prices to rise by around 2.5% by the end of 2026. It says falling inflation and lower mortgage rates should gradually improve affordability, but that growth will remain uneven, with lower-priced regions outperforming higher-value markets.
Savills: Savills expects UK house prices to rise by around 2% in 2026, describing the year as one of consolidation rather than strong growth. It says affordability has improved thanks to lower mortgage rates, but weaker buyer confidence and economic uncertainty are likely to keep price growth subdued.
Affordability is finally improving
One of the clearest messages across all forecasts is that affordability is no longer deteriorating. It’s getting slightly easier (but still hard for many buyers). Mortgage rates have eased from their peaks, wage growth has continued to outpace house price growth, and lenders are becoming a little more flexible again.
Halifax, which won Best Overall Lender at this year’s Your Mortgage Awards, says 2025 was one of the calmest years for house prices in over a decade. That calm is expected to carry into 2026.
Amanda Bryden, head of Halifax Mortgages, said: “Looking ahead to 2026, we expect house prices to rise modestly, by somewhere between 1% to 3%. While wage growth is expected to slow and unemployment may edge higher, lower interest rates and easing inflation should help to gradually improve homebuyers’ purchasing power.”
Nationwide, named Best First-time Buyer Mortgage Lender in the Your Mortgage Awards, pointed out that while buying still feels stretched for many, conditions are becoming more manageable. The building society’s chief economist Robert Gardner said: “We expect housing market activity to strengthen a little further as affordability improves gradually.”
What about the regions?
National averages always hide what’s really going on at a postcode level. Where you live matters when it comes to the outlook for house prices.
Rightmove expects Scotland, Wales and the north of England to outperform in 2026, supported by better affordability and a healthier balance between supply and demand. London and parts of southern England are likely to lag behind.
Rightmove’s property expert Colleen Babcock said: “We expect the market in 2026 to look and feel very different depending on where you’re buying or selling. Areas with better affordability are likely to be more resilient, while higher-priced regions continue to adjust.”
Savills agrees, arguing that the days of London automatically leading the recovery may be behind us, at least for now.
Behind the numbers
If there’s one thing the experts agree on, it’s that 2026 won’t be driven by hype.
Hamptons forecasts around 1.15 million transactions this year. This is the sign of a market powered mainly by life events, such as growing families, job moves and relocations, rather than speculation.
Savills strikes a similar tone, describing 2026 as a year of consolidation, with stronger growth more likely later in the decade if economic confidence improves.
Another clear shift is which buyers are driving activity. Across different forecasts, first-time buyers seem to be playing a key role, helped by easing affordability, more mortgage product availability and a wider choice of homes for sale.
Nationwide said that first-time buyers continued to make up a significant share of transactions in 2025, and expects them to remain central to the market next year.
What does this mean for buyers and sellers?
For buyers, 2026 looks calmer than recent years, particularly outside the South East. Choice remains good, mortgage rates are lower than they were two years ago (but still much higher than five years ago) and price growth is expected to stay modest.
For sellers, the message is simple: price realistically from the start. In a slower, steadier market, homes that come to market at the right level are far more likely to attract interest and progress smoothly.
Good surveying matters here, giving you an idea of not only the value of a home but the condition of the property. Countrywide Home Surveys – named Best Surveyor at this year’s Your Mortgage Awards – said that the biggest benefit of a survey is the ability to ‘highlight problems that may not be visible during viewings’.
Ready for 2026
If you are looking to buy a home, remortgage or sell your property in 2026, you can feel confident that there are unlikely to be any major swings in property prices, although local areas may see more volatility than the national picture.
Taken together, the latest forecasts suggest a housing market that is finding its balance. Prices are expected to rise, but gently and driven by affordability.
For many buyers and sellers, it will be slow and steady.
