Record price jump: UK Housing market update January 2026

Record price jump: UK Housing market update January 2026 (Edited, source: Rightmove, January 2026)

Key takeaways:

• – The UK housing market has made a positive start to 2026, with a record January price jump and strong buyer demand
• – The average new seller asking price is £368,031 – that’s 2.8% higher than in December and 0.5% up on last year.
• – Buyer demand rose 57% in the two weeks after Christmas, compared with the two weeks before.
• – The number of homes listed for sale on Rightmove increased by 81% in the two weeks after Christmas.
• – Expat buy to let mortgage rates now start at 4.54% , says Offshoreonline, a leading online expat mortgage broker
• – Asking prices are up 2.8% month-on-month in January 2026 – the largest increase seen in the month of January on record, according to our latest house price data

National market overview:

January house price figures indicate an active market, suggesting many of us are already exploring our options for a move in 2026. The average price of homes listed for sale rose to £368,031 in January 2026, up 2.8% from December 2025 (+£9,893). It’s the largest price increase on record for the month of January, and the largest rise for any month since June 2015.

This bounce brings average asking prices close to where they were in August 2025, with the market having recovered from the uncertainty that surrounded the November Budget. National property prices are now slightly higher than this time last year (+0.5%).

The January rise also follows Rightmove’s busiest ever Boxing Day for visits to the platform, jumping 93% compared with Christmas Day. In the five days after Christmas, buyer enquiries also rose 67% compared to the five days before, while new listings increased by 143%.

What does this mean for buyers?

Potential buyers have a lot of choice right now, and a third of existing homes for sale have reduced their original asking price. So, if you’re thinking of selling, you should look to strike a balance between price ambition and market realism when setting your asking price, to have the best chance of finding a buyer and getting your home sold.

This time last year we saw a flurry of buyers looking to complete their purchases before the April stamp duty rise in England. While this makes year-on-year comparisons less useful, current figures for buyer demand in January are largely in line with 2024 levels.

It’s an encouraging early snapshot, with buyer demand having increased 57% in the two weeks after Christmas compared with the two weeks before. As the year progresses, it will become clear if this momentum can be maintained into the peak Spring selling season.

Many buyers, and particularly first-time buyers, will be keeping a keen eye on recent price increases. However, asking prices are only back to where they were in the summer of 2025 before the Budget rumours began surfacing, which unsettled the market and dented confidence.

Regional trends

While January’s recovery brings average asking prices close to where they were in August 2025, price trends in regions and local markets across Great Britain show greater variance.

While most regions saw a monthly increase in property prices in January 2026, several areas such as the South East and East of England have seen a drop in average property prices versus this time last year.

What’s happening with mortgage rates?

Expat mortgage rates are continuing to trend lower, according to online brokers Offshoreonline. Variable are starting at 4.54%, five year fixed rates are available at the same level too, suggesting long term rates are close to bottoming out.

The outlook for UK expat buy to let investors for 2026 remains one of steadily rising prices, more activity and a market that is probably at its most affordable for over 5 years.