The latest data from the Halifax House Price Index suggests the UK housing market has continued its steady start to 2026, with average property prices rising again in February.
The Landlord Insurance team here at Lansdown have summarised the changes and what they mean for property owners.
February market overview
According to the latest figures, the average UK house price increased by 0.3% in February, following a 0.8% rise in January. This brings the average property value to £301,151, marking another new high for the market. Annual growth also picked up slightly to 1.3%, the strongest rate seen in four months.
Since the start of the year, average prices have increased by around £3,000, suggesting that buyer demand has remained relatively resilient despite ongoing affordability pressures.
Regional differences continue
Regional performance remains uneven across the UK.
Northern regions continue to see stronger growth, with Northern Ireland leading annual price increases at +6.3%, followed by Scotland at +4.7%. Meanwhile, parts of England have also seen steady increases, with the North East up 3.5% year-on-year and the North West rising 2.9%.
By contrast, some of the UK’s more expensive markets are experiencing softer conditions. Average prices in the South East have fallen by 2.2%, while London has seen a 1.0% annual decline.
This ongoing regional divide reflects differences in affordability, local demand, and economic factors influencing buyers across the country.
Activity shows signs of stability
Although the housing market has started the year positively, activity data suggests conditions remain mixed.
Recent figures show that UK residential property transactions fell slightly in January, while mortgage approvals also dipped compared to late 2025. However, industry surveys indicate that buyer enquiries and agreed sales have started to improve, pointing to a cautiously optimistic outlook for the months ahead.
Interest rates and wider economic conditions will likely continue to shape the pace of activity throughout 2026.
What this means for property owners
The latest data suggests the UK housing market is maintaining steady momentum in early 2026. Although price growth remains relatively modest, the continued rise in average values reflects ongoing demand in many parts of the country.
That said, affordability challenges and regional differences are still likely to influence how the market performs across the UK.
This article is for informational purposes only and should not be considered legal advice.
About Lansdown Insurance Brokers
Lansdown Insurance Brokers are specialists in Landlord Insurance and Block of Flats Insurance. We can provide flexible policies to suit your needs. Whether you’re a landlord, letting agent, or property owner, call the team on 01242 524498 or email enquiries@lansdowninsurance.com.
Lansdown is part of the Benefact Group, a charity-owned, international family of financial services companies that gives all available profits to charity and good causes.
