UK house prices rise 0.9% as annual growth slows in August

UK house prices increased by 0.9% in the year to August 2026, taking the average property value to £273,000, according to figures published by HM Land Registry on 21 October 2026. Annual growth slowed from the revised 1.2% recorded in July.

HM Land Registry reported a 0.3% increase between July and August on a non-seasonally adjusted basis. That was smaller than the 0.6% monthly rise recorded over the equivalent period in 2025.

Activity also weakened. The UK Property Transactions Statistics cited in the release estimated 95,000 residential transactions worth at least £40,000 in August, on a seasonally adjusted basis. That was 1.9% below August 2025 and 1.5% lower than July 2026.

Where did UK house prices rise and fall?

HM Land Registry’s regional figures showed the North East recording England’s strongest annual price growth, at 3.2%, with an average value of £166,000. Yet prices there fell by 0.6% between July and August, the largest monthly decline among the English regions.

London presented the reverse pattern. HM Land Registry put the capital’s average price at £554,000, down 2.2% over the year but up 0.7% on the month. It had both England’s weakest annual performance and its largest monthly increase.

The South East was the only other English region showing an annual decline in the release. Its average price fell by 0.8% to £380,000, with a monthly reduction of 0.1%, according to HM Land Registry.

Elsewhere, the North West recorded annual growth of 2.2% and an average price of £220,000. Yorkshire and the Humber followed with growth of 1.8% and an average of £209,000, while the West Midlands rose by 1.2% to £251,000, the registry’s table showed.

Annual increases were more modest in the South West, at 0.7%, the East Midlands, at 0.5%, and the East of England, at 0.2%. HM Land Registry reported average prices of £304,000, £242,000 and £338,000 respectively.

Wales recorded stronger annual growth than the UK headline measure. HM Land Registry put its average property value at £216,000, up 3.1% over the year and 1% between July and August.

Property type produced another clear divide. In HM Land Registry’s England table, flats and maisonettes fell by 2.9% over the year to an average of £219,000. Semi-detached homes rose by 1.7% to £292,000, terraced homes by 1.4% to £247,000 and detached properties by 0.3% to £473,000.

For London, the registry listed an average flat or maisonette price of £427,000, against £450,000 in August 2025. Detached and semi-detached homes each recorded annual growth of 1.8%, reaching £1,164,000 and £731,000 respectively. Terraced homes edged up by 0.1% to £649,000.

The Welsh property-type figures were positive across all four categories. According to HM Land Registry, semi-detached and terraced homes each rose by 3.7%, to £216,000 and £174,000. Detached homes increased by 2.4% to £337,000, while flats and maisonettes rose by 0.9% to £130,000.

How did prices differ for first-time buyers?

HM Land Registry’s buyer-status breakdown put the average price paid by first-time buyers in England at £246,000 in August, an annual increase of 0.6%. The corresponding figure for former owner-occupiers was £357,000, up 0.4%.

In London, first-time buyer prices were down 2.4% over the year at £473,000, despite a 1.1% monthly increase. The registry reported an average of £696,000 for former owner-occupiers in the capital, down 1.8% annually and up 0.3% on the month.

Welsh first-time buyers faced a different annual comparison. Their average purchase price rose by 3.5% to £186,000, according to HM Land Registry, while the former owner-occupier average increased by 2.8% to £258,000.

The funding breakdown also varied by location. HM Land Registry recorded annual price growth of 0.6% for mortgage-funded purchases in England, compared with 0.2% for cash purchases. In London, those measures fell by 1.8% and 3.9% respectively; in Wales, they rose by 3.3% and 2.8%.

Why the August figures are not a live market snapshot

The UK House Price Index measures completed transactions, rather than newly agreed sales or asking prices. HM Land Registry said a purchase typically takes six to eight weeks to complete, meaning the publication reflects transactions that have already passed through that process.

There is a further delay in the building-status breakdown. HM Land Registry withheld figures for the two most recent months because the number of new-build transactions was insufficient to produce meaningful results. The building-status tables in this release therefore cover June 2026 rather than August.

For that earlier month, the registry reported an England new-build average of £367,000, up 0.2% annually, compared with £289,000 for existing resold properties, up 1.3%. London’s June figures showed annual falls of 6.5% for new builds and 2.8% for existing resold homes.

The release also contains inconsistent England-wide headline figures: its opening England commentary gives an average of £293,000 and annual growth of 1.1%, while its property-type table gives £294,000 and 0.4% for all properties. Those conflicting entries should not be treated as an unambiguous national result.

The August transaction period predates the October mortgage developments covered in our report on selected fixed mortgage rate cuts. Moneyfactscompare.co.uk reported those reductions after the average five-year mortgage rate reached 6% on 5 October.

On housing supply, the government has separately published a ministerial letter setting out priorities for planning inspectors. That letter concerns England’s new National Planning Policy Framework and highlights housing supply and economic growth; it is a policy development rather than a measure of completed-sale prices.

HM Land Registry urges caution over monthly movements

HM Land Registry’s stated position is that individual monthly readings should not carry too much weight because housing indicators fluctuate. That warning is particularly relevant when interpreting a monthly movement as evidence of a change in the market’s direction.

The registry said it had extended the index’s revision period to 13 months following a review of its revision policy. It explained that the longer window allows more comprehensive data to be included, so published estimates remain subject to revision.

When will the next house price figures be published?

HM Land Registry has scheduled the September 2026 UK House Price Index for Wednesday 18 November 2026. The index is normally published on the second or third Wednesday of each month, while Northern Ireland figures are updated quarterly.