House prices have dipped more than usual in the build-up to Christmas, although values are expected to rise gradually across 2026. Read on to see what's happening to house prices in your area.
Feeling a bit lost with so many house price reports out there?
The HomeOwners Alliance House Price Watch looks at all the information from the various property indices to give you one easy-to-digest round-up of everything you need to know.
So, let's look at how prices have changed over the past month and year.
What’s going on with house prices?
When you average out the latest figures reported by all the major indices, prices edged 0.1% upward in the last month and 1.4% over the last 12 months.
It means the typical home now costs £270,000. This is down £2,000 compared to last month, but still around £4,000 higher than a year ago.
What will happen to prices in 2026?
House prices are normally subdued at this time of year, but more prospective buyers have stayed away this time around over fears the Budget would contain bad news.
According to property portal Rightmove, the average price of a property for sale has fallen by 1.8% this month.
“Prices usually fall in December, but this year’s price fall is larger than the 10-year average drop of 1.4%," it said in its latest analysis.
“Budget-related gloom and uncertainty have amplified the seasonal slowdown in prices and activity that we’d usually see in December and indeed contributed to a more subdued second half of the year overall.
“Rightmove predicts that the 2026 market will be more like the encouraging first half of this year, rather than the second half, where confidence was affected by Budget speculation.
“Buyer affordability is set to improve, and the good choice of homes for sale continues to run at a decade-high level.
“For these reasons, Rightmove predicts stronger housing market activity, leading to modest upwards price pressure, and causing the average price of property coming to the market for sale to rise by 2% in 2026.”
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What's happening to house prices near me?
Land Registry has the most comprehensive data regarding housing stock, and it provides a handy regional breakdown of house prices across the UK.
This data takes slightly longer to compile, so it isn't quite as up-to-date as the other property indices – its latest prices cover up to October 2025 – but it nonetheless provides an interesting insight into how areas are faring relative to each other.
In the 12 months up to that point, prices increased in all regions except London and the South West.
The housing market in Northern Ireland has proved by far the most buoyant over that period, with prices jumping 7.1% annually, while the North East of England (5%) has also seen sizeable gains.
At the other end of the scale, London saw prices fall by 2.4% during the same period, while South West property values dipped 1.3%.
When you add in the relatively weak growth seen in the South East (0.7%), it's clear that property prices in the South are far more subdued than those in the North.
See the table below for a full breakdown of prices by region.
What the indices say
HomeOwners Alliance
“After a long lead-in, the Budget proved more bark than bite, though pre-Budget speculation did weigh on November activity.
“Annual house price growth, buyer demand, new seller instructions and sales agreed all declined.
“Ultimately, the property tax changes announced are not expected to have a material impact on the market, and with greater certainty, activity is expected to rebound in the new year—supported by improving affordability, as house price growth continues to lag earnings growth and mortgage rates trend lower.
“We are forecasting gradual house price growth of 2% in 2026.”
Rightmove
“The average price of property for sale has fallen by 1.8%.
“Prices usually fall in December, but this year’s price fall is larger than the 10-year average drop of 1.4%.
“It means that 2025 ends with average asking prices 0.6% lower than a year ago.
“Budget-related gloom and uncertainty have amplified the seasonal slowdown in prices and activity that we’d usually see in December and indeed contributed to a more subdued second half of the year overall.
“Rightmove predicts that the 2026 market will be more like the encouraging first half of this year, rather than the second half, where confidence was affected by Budget speculation.
“Buyer affordability is set to improve, and the good choice of homes for sale continues to run at a decade-high level.
“For these reasons, Rightmove predicts stronger housing market activity, leading to modest upwards price pressure, and causing the average price of property coming to the market for sale to rise by 2% in 2026.”
Nationwide
“2025 House prices evolved broadly in line with our expectations.
“Annual price growth slowed steadily from 4.7% at the end of 2024 to 2.1% in the middle of 2025 and then to 1.8% in November.
“With price growth well below the rate of earnings growth and a steady decline in mortgage rates, affordability constraints eased somewhat, helping to underpin buyer demand.
“First-time buyer share of house purchase activity was above the long-run average, supported by easier credit availability, with the share of high loan-to-value lending (i.e. with a deposit of 15% or less) reaching its highest level for over a decade.
“Looking ahead, we expect housing market activity to strengthen a little further as affordability improves gradually via income growth outpacing house price growth and a further modest decline in interest rates.
“We expect annual house price growth to remain in the 2% to 4% range next year.
“Changes to property taxes announced in the Budget are unlikely to have a significant impact.
“The High Value Council Tax Surcharge is not being introduced until April 2028 and will apply to less than 1% of properties in England and about 3% in London.
“Higher taxes on income from properties may dampen buy-to-let activity further.”
Halifax
“Average house prices were broadly unchanged in November.
“Annual growth has slowed to +0.7%, the weakest rate since March 2024, though this largely reflects the base effect of much stronger price growth this time last year.
“This consistency in average prices reflects what has been one of the most stable years for the housing market over the last decade.
“Even with the changes to Stamp Duty back in spring and some uncertainty ahead of the Autumn Budget, property values have remained steady.
“While slower growth may disappoint some existing homeowners, it’s welcome news for first-time buyers.
“Comparing property prices to average incomes, affordability is now at its strongest since late 2015.
“Mortgage costs as a share of income are at their lowest level in around three years.
“Looking ahead, with market activity steady and expectations of further interest rate reductions to come, we anticipate property prices will continue to grow gradually into 2026.”
Zoopla
“The usual Christmas slowdown has started earlier than usual with buyer demand now 12% lower than a year ago.
“Even so, sales agreed are only 4% lower, as committed buyers push to secure deals before the end of the year.
“With greater clarity on the future of property taxation for buyers and sellers, we expect market activity to pick up as we enter 2026, following what has been almost a four-month slowdown in late 2025.
“Our data shows the underlying demand to move home remains strong. With greater certainty, we expect a rebound in housing market activity that builds into the new year, with households that paused home-moving decisions over recent months returning with greater confidence.
“We think house price growth will be closer to 1% by the end of 2025, and we expect this slower pace to continue into 2026.”
RICS
“The November 2025 RICS UK Residential Market Survey results continue to portray a subdued backdrop, with metrics on buyer demand and sales volumes still firmly in negative territory.
“Moreover, forward-looking indicators have yet to suggest any meaningful near-term improvement, with the tone of the data showing no discernible reaction to the recent Budget (three-quarters of the sample was gathered after the event).
“Looking at the longer term, it is anticipated that house prices will resume an upward trajectory over the coming year (the strongest reading since June).”