UK House Prices Forecast to Rise Modestly Through 2024 Amid Easing Mortgage Rates

After a turbulent period, the UK housing market stabilizes with expectations of modest growth driven by potential interest rate cuts and improved economic outlook.

Savills revises its five-year forecast, predicting a 21.6% increase in average house prices by 2028, up from an earlier estimate of 17.9%.
Halifax reports a slight monthly increase in April, with house prices up 0.1% as the market shows signs of stabilization.
Analysts anticipate the Bank of England may maintain current interest rates with potential cuts later this year, influencing mortgage affordability.
Increased demand for smaller properties, especially among first-time buyers, reflects adjustments to higher borrowing costs.
Despite recent stability, the UK housing market faces ongoing challenges from high inflation rates and geopolitical uncertainties.