31 July 2026
If you are covering the latest Nationwide house price index, please see the following comment from Ian Futcher, financial planner at Quilter:
"According to Nationwide, house prices rose by just 0.1% in July, while annual growth slowed to 1.8% from 2.2% previously, bringing the average property price to £277,542.
“This relatively subdued snapshot of the housing market shows activity is far from booming. The latest Bank of England money and credit statistics showed net mortgage approvals rose slightly to 58,200 in June but remained below the average of the previous six month period. Affordability continues to be a significant challenge, particularly as mortgage rates have drifted higher in recent weeks amid renewed tensions in the Middle East, which is keeping many prospective buyers sat waiting on the sidelines.
"The Bank of England monetary policy committee’s decision to hold rates yesterday will provide some reassurance to borrowers. There had been growing concern that the renewed pressure on oil prices could complicate the inflation outlook and prompt a more hawkish response from policymakers. However, while a hold offers a degree of stability, we’re unlikely to see a meaningful reduction in mortgage costs for a while yet. Given concerns around inflationary pressures and the uncertain economic backdrop, lenders will remain cautious in their pricing.
“For now, the housing market remains in a holding pattern. Any meaningful shift in house prices will depend on how inflation, interest rates and consumer confidence evolve over the coming months, alongside whether mortgage affordability begins to improve."
