House prices get moving...

VICKY SHAW on how property prices have shown signs of picking up at the start of 2026

- VICKY SHAW

THE average UK house price increased by 0.3% month-on-month in January, following a 0.4% fall in December, a building society has reported, with housing market activity expected to gain momentum in the months ahead.

On an annual basis, property values increased by 1.0% in January, taking the average house price to £270,873, Nationwide Building Society said.

Robert Gardner, Nationwide's chief economist, says: "The start of 2026 saw a slight pickup in annual house price growth, which rose to 1.0% in January, after slowing to 0.6% in December. Prices increased by 0.3% month-on-month in January, after taking account of seasonal effects.

"Housing market activity also dipped at the end of 2025, most likely reflecting uncertainty around potential property tax changes ahead of the Budget. Nevertheless, the number of mortgages approved for house purchase remained close to the levels prevailing before the pandemic.