UK house prices grow at slowest pace in over two years
Annual growth slowed to 0.5% in October as higher mortgage rates discourage buyers, data shows.
At a glance
- Annual house price growth fell to 0.5% in October, the slowest rate in over two years
- Average UK property price was £273,566, flat month-on-month
- Growth rate declined from 0.8% in the year to September
- Higher mortgage rates cited as a factor deterring potential buyers
UK house prices increased at an annual rate of just 0.5% in October, marking the slowest pace in more than two years, according to lender Nationwide. The average property price stood at £273,566, unchanged from September and down from 0.8% annual growth in the previous month.
Higher mortgage rates have dampened buyer demand across the market. The slowdown reflects broader economic pressures as borrowing costs remain elevated.
Why it matters
Housing market trends reflect broader economic conditions and consumer purchasing power, with rising borrowing costs affecting affordability across the UK.
Original reporting
- The Guardian — WorldUK house prices grow at slowest pace in two years as mortgage rates rise
- The Guardian — BusinessUK house prices grow at slowest pace in two years as mortgage rates rise
This brief was written with AI assistance from the reports listed above and checked against our editorial policy. Spotted an error? Request a correction.
