ANNUAL house price growth fell to zero in the year to March, according to official data published today, down from 1.7% in the 12 months to February 2026. The average UK house price is now £268,000.
The annual UK house price inflation rate slowed because average monthly prices fell by 0.4% between February and March 2026, compared with a large monthly rise of 1.2% in the same period a year ago.
This happened ahead of the April 2025 changes to Stamp Duty Land Tax, in England and Northern Ireland.
Average house prices decreased to £290,000 (a fall of 0.6%) in England, and increased to £213,000 (2.9%) in Wales and £187,000 (1.6%) in Scotland, in the 12 months to March 2026.
Meanwhile, average UK monthly private rents increased by 3.5%, to £1,381, in the 12 months to April 2026, up from 3.4% in the 12 months to March 2026.
Average rents increased to £1,438 (3.5%) in England, £834 (4.9%) in Wales, and £1,019 (2.0%) in Scotland, in the 12 months to April 2026.
In Northern Ireland, average rents increased to £877 (4.0%), in the 12 months to February 2026.
In England, private rents annual inflation was highest in the North East (6.5%), and lowest in London (2.0%), in the 12 months to April 2026.
A new chapter
Ken James, Director at London-based Contractor Mortgage Services, said now is the perfect time for buyers: “A new chapter is opening in the UK property market and, for the first time in years, it’s buyers who are stepping into the spotlight.
“Annual house price growth has effectively collapsed. While this may unsettle sellers, it marks a rare moment of opportunity for those looking to purchase especially after years of being outpaced by rising prices, bidding wars and limited stock.
“With growth grinding to a halt, the market has shifted from a seller‑dominated battlefield to a more balanced, even buyer‑friendly, landscape. The power dynamic has changed, and buyers are beginning to realise they finally have the room to manoeuvre.”
Babek Ismayil, CEO at homebuying platform OneDome, agreed: “Conditions remain far more challenging than what they were in the mortgage market, but in the property market they are very favourable, as people are in a position to negotiate hard on price.”
Dariusz Karpowicz, Director at Doncaster-based Albion Financial Advice, also said now may be the perfect time for buyers to strike: “If you are looking to buy, this is your window to push hard, because a stalled market rewards a sharp offer.
Clueless estate agents
Darryl Dhoffer, Founder at Bedford-based The Mortgage Geezer, added: “The Middle East crisis is genuinely hammering confidence and spiking costs, but let’s not let global conflict hog the spotlight. We must applaud the true saboteurs of British property – our clueless estate agents.
“While the world burns and UK prices drop 0.4% in a month, these retail geniuses, smelling of cheap aftershave and trapped in tight suits, still think it’s 2021.
“Instead of adjusting to reality, they just apply more hair gel, slap three blurry Rightmove photos on an overpriced damp-trap, and wonder why there are no viewings in four weeks.
“They can’t read a room, let alone an economic chart. Meanwhile, rents are up 3.5% to £1,381. Is it a broken market? Absolutely.”
Buyers are nervous
Martin Rayner, Mortgage broker and financial adviser at Compton Financial Services, believes nerves are the reason for house price stalling.
He said: “The housing market has stalled because buyers are nervous. Ongoing conflict in Iran, volatility in financial markets, political uncertainty around the Labour government and speculation over future leadership are all pushing up wholesale swap rates, which then feeds directly into higher mortgage pricing and weaker buyer confidence.
“Constant headlines about mortgage rate increases only add to the caution, even when some of the reporting exaggerates the reality. Affordability is already stretched, so many buyers are choosing to wait rather than commit during a period of uncertainty.
“That inevitably slows price growth. At the same time, landlords continue to exit the market due to higher taxes, regulation and borrowing costs.
“Fewer rental properties means less supply, so rising rents are almost inevitable. The danger is ending up with the worst of both worlds: a stagnant housing market for buyers and an increasingly unaffordable rental market for tenants.”
Emma Jones, Managing Director at Runcorn-based Whenthebanksaysno.co.uk, also said rising rents are a challenge for borrowers: “The more people have to spend on their rent, the less they can afford to put aside for a deposit, which is constant battle for aspiring buyers.”
