House prices are expected to recover in 2026, with growth forecasts between 4% and 5%, according to analysis from LandlordBuyer.
The anticipated rebound could create a key window for landlords weighing up whether to sell.
Economists predicted a rise of 5% to the fourth quarter of 2026, up from growth of 2.5% in 2025.
In addition, major estate agents forecasted around 4% growth next year, part of a projected 22.8% cumulative rise by 2029.
A Reuters poll of property analysts also pointed to a 4% national increase in 2026, with London likely to match that figure and other regions seeing between 3.5% and 4.5%.
Long-range analysis from Savills suggested that by 2029 UK house prices could climb by 21.6% overall, with the North West (24.3%) and Yorkshire & Humber (23.7%) leading regional growth.
According to LandlordBuyer, if these projections hold, the average UK home – currently valued at around £280,000 – could top £300,000 by the end of 2026.
For landlords, the predicted rise offers a potential exit point after a period marked by higher borrowing costs, tighter regulation and squeezed profitability.
Jason Harris-Cohen, managing director of LandlordBuyer, said: “After several challenging years for the housing market, driven by rising interest rates, increased regulation, and squeezed affordability, the forecasted rebound in 2026 offers a welcome turning point.
“Analysts expect house prices to rise by around 4–5% nationally next year, with London likely to track similar growth and Northern regions tipped to outperform over the longer term.
“Looking further ahead, forecasts into 2027 and beyond suggest that momentum could build steadily, which will likely mean improved sale values as average UK prices climb towards and beyond £300,000.
“London is predicted at around 4% growth in 2026, while regions such as the North West and Yorkshire & Humber are projected to lead five-year growth. Forecasts suggest house price growth could run consistently to 2029, offering predictability for buyers and sellers.”
He added: “With over a third of landlords reported to be considering exiting, 2026–2027 could prove a defining window for decision-making.
“If the rebound holds, the second half of the decade could see renewed investment and demand across the sector.”
