House prices across the United Kingdom showed no growth during November, delivering what analysts have termed a disappointing update for existing homeowners.
Market Stalls as Annual Growth Slows
According to the latest data from Halifax, one of the UK's largest mortgage lenders, property values were broadly unchanged last month, recording a movement of +0.0%. This follows a modest increase of +0.5% in October.
The annual rate of house price growth has also decelerated sharply, slowing to +0.7% in November from +1.9% the previous month. Halifax noted this is the weakest annual growth rate recorded since March 2024.
Despite the flat monthly performance, the average UK property price edged up by £139 to reach a new record high of £299,892.
A Clear Regional Divide Emerges
The regional data paints a picture of a two-speed market, with a persistent North/South divide. In England, the strongest annual growth was found in the North West, where prices rose by +3.2% to an average of £245,070. This was closely followed by the North East, with growth of +2.9% (£180,939).
Conversely, three southern regions experienced price declines in November. London saw the most significant drop, with values falling by -1.0%. Prices also dipped in the South East (-0.3%) and Eastern England (-0.1%). Despite the monthly fall, the capital remains the most expensive place to buy, with the average property costing £539,766.
Stability for Some, Opportunity for Others
Amanda Bryden, Head of Mortgages at Halifax, commented on the findings. She stated that the slowdown in annual growth largely reflects a 'base effect' from much stronger price increases a year ago.
"This consistency in average prices reflects what has been one of the most stable years for the housing market over the last decade," Bryden said. "While slower growth may disappoint some existing homeowners, it’s welcome news for first-time buyers."
She highlighted that housing affordability, when comparing prices to average incomes, is now at its strongest level since late 2015. Furthermore, mortgage costs as a share of income are at their lowest point in around three years, even with today's higher interest rates.
Looking forward, Halifax anticipates a gradual return to growth into 2026, supported by steady market activity and expectations of further interest rate reductions.
Shaun Sturgess, Director at Swansea-based Sturgess Mortgage Solutions, echoed the sentiment of opportunity. "Existing homeowners may rightly be disappointed by this data but it’s a boost for future homeowners," he said.
He pointed to recent aggressive mortgage rate cuts by lenders and the prospect of a Bank of England base rate reduction as factors that could spark a rebound in the New Year, suggesting now could be a window of opportunity for buyers to act.
