- Britain's housing market recovery is expected to be delayed until the second half of 2028 as high mortgage rates continue to pressure activity and prices.
- Property firm Savills forecasts average house prices to fall by £5,500 next year, with values continuing to drift lower through 2026 and 2027.
- Across the five years to 2031, average house prices are predicted to rise by 15.8 per cent, representing an increase of £56,500 in cash terms.
- Northern England, Wales, and Scotland are projected to see the strongest growth supported by relative affordability, while London prices are forecast to rise by only 8 per cent.
- First-time buyers and demand for larger family homes are expected to drive the market recovery from 2028 as mortgage affordability improves.
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