House Prices See a Lift to Start the Year

There’s been a bit of good news for the property market this January. According to the latest figures from Nationwide, house prices have picked up, with annual growth rising to 1% – up from 0.6% in December.

It’s not a huge jump, but it’s a step in the right direction.

At the end of 2025, the market slowed down slightly. Many buyers and sellers were holding off while they waited for the Budget, especially with talk of possible changes to property taxes. It’s understandable, nobody likes uncertainty when making big financial decisions.

The good news? Even during that quieter period, mortgage approvals stayed close to normal, pre-pandemic levels. That suggests there was still steady demand bubbling away in the background.

What’s Happening Now?

Nationwide’s Chief Economist, Robert Gardner, says the new year has brought a modest improvement. House prices rose by 0.3% in January alone (after seasonal adjustments), pushing annual growth up to 1%. Now that the Budget has passed and there’s more clarity, confidence seems to be returning. If affordability continues to improve, we could see more buyers and sellers getting back into the market over the coming months.

What the Experts Are Saying?

Industry experts are feeling cautiously optimistic.

Iain McKenzie, CEO of The Guild of Property Professionals, says the figures suggest a steadier, more stable start to the year.

Jason Tebb, President of OnTheMarket, agrees, noting that activity and confidence have picked up now that there’s less uncertainty hanging over the market.

All in all, it’s a positive start to 2026 and a sign that the housing market may be finding its feet again.

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