UK House Prices Return to Growth: What It Means for Buyers and Sellers

Confidence Returns as Market Picks Up

After a mild summer slowdown, the UK housing market is showing renewed strength. In September 2025, prices rose by 0.5 %, leaving them 2.2 % higher than a year ago, according to Nationwide. This growth suggests that demand is stabilising, supported by easing mortgage costs, resilient employment, and cautious optimism about further Bank of England rate cuts later in the year.

Adding to this positive momentum, the government has just unveiled a major reform package aimed at cutting four weeks off the average home-buying timeline. The plan includes digitising property searches, improving transparency for buyers, and exploring reservation agreements to make transactions more secure. For buyers frustrated by lengthy conveyancing and uncertainty, this initiative could make 2026 a far smoother year to move home.

Regional Highlights

Northern Ireland continues to lead regional growth at 9.6 %, with strong momentum across northern England and Scotland. London and the South East remain sluggish, with growth of just 0.6 % and 0.3 %, reflecting affordability pressures and a cautious high-end market.

Affordability and Future Headwinds

Affordability is gradually improving as lenders cut rates and wage growth remains steady. However, uncertainty remains ahead of the Autumn Budget, where rumours of a national property tax and even National Insurance on rental income are generating unease in the market’s upper tiers.

What It Means for You

The combination of returning price growth and proposed buying-process reform paints a cautiously optimistic picture. If these government measures succeed, moving home could soon become faster and more predictable — a boost for both buyers and sellers.

At Altura Mortgage Finance, we help clients navigate each shift in the property market. Whether you’re preparing to buy, sell, or remortgage, we can help you make the most of improving conditions. Get in touch today for tailored mortgage advice or explore our latest insights for more market updates.