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UK monthly house prices fall for first time since start of Iran war, Nationwide says
Annual house price growth also slowed to 1.7% as higher energy prices, market rates and weaker confidence weighed on buyers, Nationwide said.
- Nationwide Building Society reported UK house prices fell 0.6% in May, the first monthly decline since December 2025. Annual growth slowed to 1.7% from 3.0% in April, with the average house price at £278,024.
- Developments in the Middle East have contributed to economic uncertainty, dampening market momentum. Robert Gardner, Nationwide's chief economist, warned that economic growth is likely to be weaker this year as a result.
- Tom Bill, head of UK residential research at Knight Frank, described the current environment as a "buyers' market," noting the housing market slowed at a time when momentum typically builds.
- Mortgage rates will continue to dictate market pace, according to Ian Futcher, a financial planner at Quilter. Martin Beck of WPI Strategy added that affordability remains stretched, leaving the market vulnerable.
- Despite softening momentum, Jason Tebb, president of OnTheMarket, emphasized that the housing market continues to demonstrate resilience, supported by solid household finances and substantial savings buffers.
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UK house prices fall for first time in 2026 as mortgage rates surge
Property prices across Britain fell for the first time this year after growing instability in global markets weakened buyer confidence and pushed mortgage rates higher.Figures released by Nationwide Building Society showed average property values declined by 0.6 per cent between April and May.The latest figures also showed annual house price growth slowed sharply to 1.7 per cent in May, compared with three per cent recorded the previous month.An…
·London, United Kingdom
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Total News Sources21
Leaning Left6Leaning Right2Center2Last UpdatedBias Distribution60% Left
Bias Distribution
- 60% of the sources lean Left
60% Left
L 60%
C 20%
R 20%
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