Annual UK house price growth slowed to 2.8% in the year to July, according to the latest UK House Price Index published by the Office for National Statistics (ONS).

The latest rate of year-on-year growth was down from 3.6% in the 12 months to June, taking the average price of a UK home in July to £270,000.

Across the home nations, the ONS reported that average house prices increased over the 12 months to July in England to £292,000 (2.7%), in Wales to £209,000 (2.0%), and in Scotland to £192,000 (3.3%).

In Northern Ireland, the average house price was £185,000 in Q2, up 5.5% from the corresponding April to June period in 2024.

Octane Capital CEO, Jonathan Samuels, commented that the housing market was “holding steady”.

“Improvements to the mortgage landscape have been vital in driving this renewed momentum, with buyers benefiting from greater product availability and more flexible eligibility criteria,” Samuels said.

“The expectation is that interest rates will be held tomorrow and whilst this won’t light the touch paper in terms of driving buyer activity, it will bring reassurance in the short term by providing ongoing certainty.”

CEO of Propertymark, Nathan Emerson, added that there are two factors that could “weigh heavily on consumers’ minds” as they decide their next move in the buying and selling process.

“Any decision that the Bank of England makes tomorrow regarding base rates will determine whether people can realistically afford to relocate, and the uncertainty about potential further stamp duty restructuring may impact those moving house in England and Northern Ireland,” Emerson said.

“Though we have clarification that the Budget will take place on 26 November, this may cause people to delay their next house move in the meantime. For some, however, these factors will not impact their decisions due to the importance and urgency of their home move and may be able to more easily absorb any additional financial constraints to facilitate a home move.”

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