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UK House Prices Set a Record as Annual Growth Slows to 0.7%, Halifax Says

Improved affordability puts first-time buyers in their strongest position since 2015.

Overview

  • Halifax reports the average home cost £299,892 in November, up about £138 on October, leaving monthly growth flat at 0.0%.
  • Year-on-year growth cooled to 0.7%, the weakest pace since March 2024, reflecting comparisons with stronger gains a year earlier.
  • Regional divergence persisted, with Northern Ireland up 8.9% and the North West up 3.2% versus a 1.0% fall in London and small declines in parts of southern England.
  • Affordability improved to its best level since late 2015 and mortgage costs fell to a roughly three-year low share of income, according to Halifax.
  • Agents point to pre-Budget caution and higher stock for the recent pause, while forecasts suggest gradual price gains into 2026 if mortgage rates ease and Bank of England cuts materialize; a new council tax surcharge on £2m-plus homes begins in 2028.