1 July 2026
If you are covering the latest Nationwide House Price Index, please see the following comment from Ian Futcher, financial planner at Quilter:
“UK house price growth flatlined in June with a 0.0% monthly change, while annual house price growth edged up to 2.2%, according to the latest Nationwide house price index. This has brought the average house price to £277,484.
“The data also show that the outer South East saw the weakest growth in the second quarter, with house prices rising by just 0.1%, while Norther Ireland saw another 8.6% jump. London retained its position as the strongest southern region with relatively steady growth, dipping only slightly to 1.6% from 1.7% in the prior quarter.
“Market momentum has been significantly dampened in recent months as the situation in the Middle East continued to evolve. The pressure it has placed on energy prices and inflation, combined with the resulting uncertainty around the path of interest rates and broader affordability challenges, has made prospective buyers much more cautious.
“While a ceasefire has since emerged, the effects of the conflict won’t disappear overnight. Recent data already points to a cooling market, with property transactions edging lower in May and Bank of England figures showing weaker mortgage borrowing and fewer approvals for house purchases.
“Against this backdrop, many prospective buyers are continuing to delay making any major financial commitments. Confidence remains fragile and, after a lengthy period of fluctuating mortgage rates, households are understandably reluctant to make a move until there is greater certainty over borrowing costs and the wider economic outlook.
“While significant falls in mortgage rates are unlikely to materialise for some time yet, competition between lenders could create some opportunities. For buyers and homeowners approaching a remortgage, reviewing options and seeking advice early will help put you in a stronger position as the market continues to adjust.”
