Halifax says house prices were broadly unchanged in November, with the average property rising by just £139 on the month to £299,892.
Annual growth slowed to 0.7%, the weakest rate since March 2024, reflecting stronger price rises this time last year. Monthly and quarterly changes were flat at 0.0% and 0.4% respectively.
Amanda Bryden, head of mortgages at Halifax, said stability had been the defining feature of the market this year.
She said: “Average house prices were broadly unchanged in November, edging up by £139 compared to October, with the typical property now costing £299,892.
“Annual growth has slowed to +0.7%, the weakest rate since March 2024, though this largely reflects the base effect of much stronger price growth this time last year.
“This consistency in average prices reflects what has been one of the most stable years for the housing market over the last decade.
“Even with the changes to Stamp Duty back in spring and some uncertainty ahead of the Autumn Budget, property values have remained steady.
“While slower growth may disappoint some existing homeowners, it’s welcome news for first-time buyers.
“Comparing property prices to average incomes, affordability is now at its strongest since late 2015.
“Taking into account today’s higher interest rates, mortgage costs as a share of income are at their lowest level in around three years.
“Looking ahead, with market activity steady and expectations of further interest rate reductions to come, we anticipate property prices will continue to grow gradually into 2026.”
Nathan Emerson, CEO of Propertymark, said stability offered some reassurance but affordability challenges persisted.
He said: “While stable house prices suggest the UK housing market is adapting to ongoing political and economic uncertainty, they are still unaffordable for many aspiring buyers, especially with annual regular pay growth at just 0.5%, according to recent data.
“If the Planning and Infrastructure Bill passes its final parliamentary stages on Monday and becomes law before Christmas, it should boost the supply of new homes in England and help moderate prices over the longer term, alongside the devolved administrations’ own building targets.”
Karen Noye, mortgage expert at Quilter, said subdued activity reflected buyers waiting for clarity after the Budget.
She said: “The Halifax data shows that house prices remained completely flat in November, leaving annual growth at 0.7% and the average UK home costing £299,892, which is still a record high.
“The market has not moved an inch in what has been a very static period as many buyers waited for clarity on housing measures in the budget.
“The dust has now settled post budget, giving borrowers a clearer view of what the early months of 2026 may look like.
“Affordability remains the biggest hurdle. Inflation has eased and there is growing expectation of a first rate cut in December, but mortgage pricing is still sensitive to shifts in swap rates and global pressures.
“Fixed rates have dipped, yet progress is gradual and high living costs continue to limit how far borrowing power can stretch, particularly for first-time buyers.
“Mortgage activity shows a market that wants to move but is still cautious. Lenders are competing harder at lower loan to value bands, while higher LTV deals remain expensive.
“Remortgagers rolling off old fixed rates are opting for shorter terms as they wait to see how borrowing costs evolve in 2026.
“All of this is happening against the backdrop of persistently low housing stock, which continues to support prices and limits the scope for any meaningful correction.
“The new mansion tax was only announced last week, so it has had no bearing on this month’s figures and its wider impact is likely to be limited.
“It may, however, create pressure for some older homeowners who are asset rich but not cash rich and now need to factor in an annual charge.
“Whether December’s prices show a small rise, a slight fall or continued stability, the story will be much the same.
“The outlook for 2026 rests on the path of mortgage rates and the resilience of household incomes.
“Greater clarity post Budget and the prospect of lower borrowing costs give the market a firmer footing, but affordability will remain the defining constraint.”
Further reaction
Amy Reynolds, head of sales at Richmond estate agency Antony Roberts:
“The post-Budget bounce is real and even works when a Budget is in late November. Our Saturday diaries are full for all our offices and our most expensive properties have had a new lease of life with viewings booked for most of them and even a second viewing on one already.
“There is more optimism and a feeling of relief now that the Budget is over. Fixed-rate mortgages are slowly heading towards 3.5% and there are better options available including cashback offers from HSBC for first-time buyers. While our market appraisals had been low in the run-up to the Budget, we have seen some good houses this week with immediate instructions (ranging from £1.4m to £2.85m) indicating there will be a market in January.
“We’re not predicting huge price rises and a racing market, more a return to the ‘normal’ pre-Budget market which has been on hiatus while everyone waited to see what the Government would roll out.”
Mark Harris, chief executive of mortgage broker SPF Private Clients:
“Affordability is improving as lenders ease criteria and reduce rates, which is putting those ready to proceed with their purchases now that the Budget is out of the way in a stronger position.
“Although the Bank of England held interest rates at the last meeting, the vote was closer than expected with four of the nine members favouring a rate cut, which bodes well for a further reduction in December.
“Market expectations are for another rate cut before the end of the year, with lenders reducing rates in recent days in an effort to drum up business before year end.”
Jeremy Leaf, north London estate agent and a former RICS residential chairman:
“While some worried about Budget measures and put plans on hold, fortunately enough buyers and sellers have confidence in the longer-term prospects of the housing market and continue with their plans regardless.
“With inflation appearing to have peaked and the direction of travel for interest rates set to be downward in coming months, there are brighter times ahead.”
Tomer Aboody, director of specialist lender MT Finance:
“The fear of what the Budget might hold for the housing market encouraged some to make their move in November, rather than waiting for the outcome.
“Precious little encouragement from the Government to make moving more attractive is having an impact on the market. Property prices are being supported by lack of stock and competition among buyers for what is available.
“The Budget was an opportunity missed, with no measures to boost transactions so we don’t expect a significant improvement in the new year. That said, a further interest rate reduction would help affordability and confidence.”
Jason Tebb, president of OnTheMarket:
“The housing market showed considerable resilience this year, shaking off external economic concerns and holding up remarkably well even when the stamp duty concession ended and when speculation was rife as to what property taxes the Budget might contain.
“However, national average figures conceal significant regional differences with the market performing stronger in the north than the more expensive south, where affordability is more of an issue.
“Confidence among buyers and sellers has been boosted by five base rate cuts over the past 16 months.
“Whether there is another reduction this month, or borrowers have to wait until the new year, there is finally a stability in the market which is helpful.
“Further reductions in base rate will assist with affordability, stimulate the market and encourage activity into the new year.”
Jonathan Handford, managing director at Fine & Country:
“In today’s climate, a month when house prices are neither rising nor falling is still a sign of underlying resilience. With so much economic noise in the background, a steady month suggests that confidence among committed buyers is holding up and that the market is continuing to find its balance.
“For sellers, stability is not a bad result. We’re seeing strong interest where homes are priced realistically and presented well, but buyers are more discerning than in previous years.
“With greater stock levels in many areas, there is increased competition among sellers to attract the right buyers, so presentation, value and transparency matter more than ever. The homes that shine are still attracting quality leads.
“A flat month in price growth also signals an opportunity for buyers. Affordability pressures have begun to ease slightly, and with prices neither rising nor falling sharply, conditions remain favourable for those ready to move quickly. Many households are reassured by this period of consistency, which allows them to plan with more confidence.
“With the Autumn Budget having reshaped parts of the property landscape, particularly at the higher end, the next few months will be about clarity and implementation. As long as policy remains predictable and borrowing costs continue their gradual easing, we expect this steady footing to carry into early 2026.
“The market may not be accelerating, but it is holding firm, and for many buyers and sellers, that’s exactly what they need right now.”
