Overview
- Nationwide’s July house price index published on July 31 showed annual growth cooled to 1.8% and month‑on‑month prices rose just £58 to an average £277,542.
- The Bank of England left Bank Rate at 3.75% and warned that the Iran–US conflict could push inflation higher later in the year, leaving the central bank prepared to raise rates if needed.
- Lenders have increased mortgage pricing this summer, pushing typical rates from about 4% to roughly 4.75% and adding around £1,500 a year to the cost for the average buyer.
- Official measures for June show underlying activity holding up: HMRC recorded a 2% rise in transactions to 98,700 and the Bank of England reported net mortgage borrowing of £7.7bn with 58,200 approvals.
- Local markets are diverging with many northern areas rising while parts of London and the South fall, brokers report a 12‑year high in stock and fewer enquiries, and tax speculation under Prime Minister Andy Burnham is keeping some buyers cautious.