UK house prices continued to edge upwards in April, defying a backdrop of economic uncertainty and subdued consumer confidence. According to the latest Nationwide House Price Index, annual growth accelerated while monthly prices also saw a modest increase, suggesting the market is regaining momentum after a slower start to the year. However, with geopolitical tensions, fluctuating mortgage rates and affordability constraints still in play, experts warn that this resilience may be tested in the months ahead as both buyers and sellers navigate an increasingly cautious landscape.
Industry experts have reacted to the latest data.
Robert Gardner, Nationwide’s Chief Economist, said:
“UK annual house price growth picked up to 3.0% in April, from 2.2% in March. Prices increased by 0.4% month on month, after taking account of seasonal effects.
Despite the uncertainty caused by developments in the Middle East and the subsequent rise in energy prices, the UK housing market has continued to regain momentum following the slowdown recorded around the turn of the year.
This is somewhat surprising given that indicators of consumer confidence have weakened noticeably. GfK’s headline index has fallen to its lowest level since late‑2023, reflecting households’ more pessimistic views of the economic outlook and their own financial position over the year ahead.
Measures of housing market sentiment have also deteriorated. The Royal Institution of Chartered Surveyors reported a sharp fall in new buyer enquiries in March, taking the index to its weakest reading since 2023. This softening is likely to have been influenced by higher market interest rates following the onset of the conflict, alongside a more uncertain backdrop.
Karen Noye, mortgage expert at Quilter:
“UK house prices surprisingly edged up by 0.4% in April, taking the average property value to £278,880, according to Nationwide’s latest index. However, that resilience will be tested by what happens next geopolitically, particularly if swap rates begin to climb again.
The Bank of England’s decision to hold rates at 3.75% yesterday offers stability, but not certainty. Governor Andrew Bailey has warned he cannot give a ‘cast iron assurance’ against further rate rises, underlining how the Iran war and its impact on energy prices is keeping inflation risks in play. For now, today’s data suggests that uncertainty has yet to dent house prices in a meaningful way.
Part of that resilience reflects improving conditions in the mortgage market. Lenders have started trimming fixed-rate deals again as swap rates ease and competition for borrowers intensifies. That has created a slightly more supportive backdrop, although pricing remains highly sensitive to shifts in market expectations.
The result is a housing market that is moving, but cautiously. Demand remains, but buyers are more price-sensitive and quicker to react to changes in mortgage costs, keeping a lid on stronger price growth.
Looking ahead, mortgage rates will remain the dominant force. Fixed rates are driven by swap markets, which are reacting as much to global developments as domestic policy. Recent easing has helped, but it could reverse quickly if inflation risks re-emerge.
For buyers and those approaching a remortgage, conditions are improving at the margins but far from settled. Rates are no longer rising sharply, but nor is there a clear path lower. In that environment, preparation matters more than timing, with borrowers best served by reviewing options early and keeping flexibility as the market continues to adjust.”
Jason Tebb, President of OnTheMarket, comments on the Nationwide House Price Index for April:
“Despite the challenging economic backdrop, the housing market continues to demonstrate the resilience it has become known for. Average prices edged up slightly as focused buyers are price-sensitive and negotiating hard, while sellers realise that they will struggle to sell over-priced homes.
Those who need to move are continuing to transact and will be buoyed by lenders trimming their mortgage rates in recent days. The Bank of England’s decision to hold interest rates for another month should also have a steadying effect on momentum in the market, suggesting stability and no need to panic.
Increased stock, as sellers try to take advantage of what is usually a busier spring market, is giving buyers more choice than has been the case for a while and this should help keep prices in check.”
Amy Reynolds, head of sales at Richmond estate agency Antony Roberts, says:
“The underlying need to move remains strong and, for well-priced, high-quality homes, demand continues to hold up. In terms of pricing, the closer the asking price is to true market value, the greater the likelihood of securing a successful sale. Buyers are not stretching to make offers they don’t believe will be accepted – they are simply choosing alternative properties.
In certain price brackets, buyers have the luxury of choice and vendors need to be mindful of this. While the wider economic backdrop may temper the pace of growth, we are seeing a more price-sensitive market where realism and accurate positioning are key.”
Mark Harris, chief executive of mortgage broker SPF Private Clients, says:
“Lenders continue to trim their mortgage rates, and the steadiness from the Bank of England in holding base rate should lead to a period of calm after much volatility.
Borrowers are taking nothing for granted, however, with many choosing to secure rates in advance of when needed for peace of mind. Others are keen to proceed with already-reserved rates while they have them.”
James Nightingall of property search service HomeFinder AI says:
“Buyer activity increased throughout the first quarter of 2026, but quieted down at the beginning of April. Some house hunters merely took a break to enjoy the Easter holidays, but others ceased this opportunity to arrange viewings or put in an offer. Although buyer interest remains steady overall, the property market hasn’t seen the spike in activity usually associated with Spring as interest rates and geopolitical developments continue to fuel uncertainty.”
Nathan Emerson, CEO of Propertymark, comments:
“While the latest Nationwide House Price Index shows house prices continuing to edge upwards, this reflects a market still heavily influenced by constrained supply rather than a sharp surge in demand. Stock levels remain limited across many areas, meaning even modest levels of buyer activity can translate into upward pressure on prices.
From a market perspective, this signals cautious but improving sentiment, rather than a renewed boom. Affordability remains a key constraint, with higher mortgage rates continuing to cap the pace of growth. As a result, the market appears to be stabilising in a low-growth environment, where structural supply issues are doing much of the heavy lifting on pricing.”
Jonathan Hopper, CEO of Garrington Property Finders, commented:
“It’s a stretch to say it’s business as usual, but Nationwide’s data does confirm business is still being done and this is not a market in freefall.
National average prices continued to tick up in April, and Nationwide calculates that the average home is now worth almost £1700 more than it was a month ago.
However one swallow does not a summer make and national averages can be misleading. What we’re seeing on the ground is a series of highly polarised regional markets, with different parts of the country performing quite differently by location, property type and price sector.
Supply is at an all-time high after the Easter weekend saw the traditional surge in new listings. Nevertheless the number of sales being agreed is more frugal than free-flowing.
This is due to two factors – buyer caution and buyers’ knowledge that they have time and choice on their side.
In many areas the number of homes for sale far exceeds the number of serious buyers, and this is allowing buyers to call the shots on both tempo and price. As a result buyers are often demanding – and getting – significant price reductions; while those who are not convinced that a home is 100% right for them won’t hesitate to walk away.
Mortgage interest rates have eased in recent weeks, but the market still lacks the two elements needed for a full return to normality: clarity and confidence.
Buyers want clarity that the home they like won’t be cheaper to buy tomorrow, and they want confidence that their money is about to be spent wisely.
The market is still unsettled and many of the deals that are being done are by buyers who need to move rather than just want to move, and by those who calculate that lower purchase prices more than offset higher borrowing costs.
The volatile global backdrop is unsettling, and all buyers are cautious and highly price sensitive. Nevertheless, the market fundamentals remain sound and increasing numbers of buyers are realising that, for the well-informed, the current volatility can create market opportunities.”
Marc von Grundherr, Director of Benham and Reeves
“Whilst house price growth has picked up to 3.0% annually, performance so far this year has remained relatively modest, which reflects a market that is moving forward, but without the urgency seen in previous years.
However, this shouldn’t detract from the underlying strength of the market. Buyer demand remains present, transactions are completing and, with yesterday’s decision by the Bank of England to hold the base rate, many homebuyers will feel reassured when it comes to committing to a purchase.
This should help to sustain a steady level of activity over the coming months.”
Verona Frankish, CEO of Yopa, comments:
“Despite the rate of monthly house price growth slowing, property values remain higher than both this time last month and when compared to this time last year.
This highlights just how strong the UK property market is when you consider the wider economic landscape, not to mention global turbulence.
It’s also important to remember that last year’s market was heavily influenced by the rush to secure stamp duty savings ahead of the end of March deadline and so what we’re seeing now isn’t weakness, but a return to more sustainable conditions.
With mortgage rates trending in the right direction over the longer term, this should continue to support stability as the year progresses.”
Chris Hodgkinson, Managing Director of House Buyer Bureau:
“While house prices have edged up, the reality on the ground is that the market continues to stagnate. Buyer demand has cooled, sellers are sitting on the market for longer and we’re seeing more transactions fall through as uncertainty continues to weigh on sentiment.
This disconnect between price growth and market activity highlights the fragile nature of current conditions and, without a meaningful improvement in affordability, it’s likely that this subdued level of performance will persist in the near term.”
Islay Robinson, CEO of Enness Global:
“The resilience seen in house price growth is notable given the current geopolitical backdrop, but at the very top end of the market, global uncertainty has inevitably led to a more cautious approach from some international buyers.
That said, the UK continues to be viewed as a stable and attractive destination for capital. For high-net-worth investors, real estate here offers long-term security and relative value, and while activity may be more selective in the short term, confidence in the UK as an investment avenue remains firmly in place.”
