UK house prices experienced a recovery in early 2026, according to Nationwide's statistics. According to Jin10, the average property value increased by 0.3% in January to £270,873 (approximately $370,600), offsetting the decline seen after the Labour government's tax hike budget announcement. This rise aligns with economists' expectations of a 0.3% increase. Compared to the same period last year, prices have risen by 1%.
Economists caution that despite the resolution of budget uncertainties, rising unemployment and persistently high mortgage rates may hinder market growth. Data released on Friday indicated weak housing loan demand in December, with mortgage approvals falling to their lowest level in 18 months.