UK house prices stand still in February but still strongest start to a year for prices since 2020
Release date: February 16th 2026
Key takeaways
- The average asking price of newly listed UK homes for sale is £368,019, almost unchanged in February compared with January
- However, January’s record asking price increase for the time of year means that 2026 is still off to a strong start
- House price trends suggest that 2026 is shaping up to be a good year to buy, thanks to better affordability and plenty of homes on the market
- The average two-year fixed mortgage rate is now 4.28%, significantly down from the 4.96% figure a year ago*
The average price of newly listed homes for sale is virtually flat in February, down by just £12 (-0.0%) to £368,019, according to the February 2026 UK house price monthly index.
Despite the standstill in prices in February, January’s record asking price increase for the time of year means that it is still the strongest start to a year for asking prices since 2020, with prices up by 2.8% since December.
Early year price growth was front-loaded into January as confidence rebounded after the prolonged Autumn Budget uncertainty. However, high choice of homes for sale and steadying buyer activity have prevented a February rise.
Is 2026 a good year to buy?
Yes, 2026 is shaping up to be a good year to buy. This is because of improved affordability and plenty of choice:
- Average property prices are the same as a year ago. This is particularly beneficial to first-time buyers saving up their first deposit
- Average earnings are up by 4.7% year-on-year, outpacing the last three years of cumulative property price growth
- The number of homes for sale is at an 11-year high for this time of year, giving buyers more choice and negotiating power
- Lenders are continuing to offer ways for eligible buyers to borrow more
- Average mortgage rates are still near their lowest level since September 2022’s mini-Budget*
- Rightmove’s daily tracker shows that the average two-year fixed mortgage rate is now 4.28%, significantly down from the 4.96% figure a year ago*
The numbers at a glance
Prices up 2.8% since December, strongest start to a year for prices since 2020
Average asking prices are level with last year, helping buyer affordability
Average mortgage rates are still near the lowest level since September 2022
National average asking price
Feb 2026
£368,019
Jan 2026
£368,031
MoM change
0.0%
National average asking price by market sector (excluding inner London)
First time buyers
£226,050
MoM change
+0.2%
Second-steppers
£343,603
MoM change
+0.7%
Top of the ladder
£657,604
MoM change
-0.2%
Expert comment
“Virtually flat prices in February really needs to be viewed alongside what happened in January. After the prolonged uncertainty in the run up to the late November Budget, plus the usual Christmas slowdown, we saw activity pick up again from Boxing Day. Many sellers, some of whom had been holding back because of the Budget, came to market in early 2026 with renewed confidence, which helped to drive that bumper January price rise.
“But the market fundamentals haven’t changed. There are still lots of homes for sale, and buying activity isn’t as strong as this time last year, when many buyers were rushing to move before the stamp duty increase in England. So in February, sellers have taken a more cautious approach by holding onto January’s gains rather than pushing prices higher, at a time when competition is high and the market is still very price-sensitive.
“2026 is shaping up to be a good year to buy. Over the last three years average wages are up by around 17%, significantly outstripping property prices which are up by just 1.5% over the same period. A more favourable mortgage rate and lending environment are both also helping to improve buyer affordability. For those who are ready to move soon, February could offer a useful window of opportunity to act before the peak spring selling season, when prices usually rise.”
Colleen Babcock, property expert at Rightmove
*Data provided by specialist mortgage technology provider Podium Solutions. The data covers 95% of mortgage lending, to exclude specialist lenders.