UK house prices fall 0.6% in October amid rising mortgage rates
UK house prices fell 0. 6% in October, the steepest monthly decline since August 2023, as data released on 5 November showed average values of £296,285. The drop reflected pressure from high mortgage rates and rising inflation.
The fall followed the Bank of England’s base-rate increase announced on 6 November, which lifted monthly payments for tracker and standard-variable-rate mortgage borrowers while giving modest gains to savers with easy-access accounts. Earlier in the month, analysts at Savills warned that higher mortgage rates linked to the Middle-East conflict would keep prices falling through 2027, and the Guardian reported that more than 2. 3 million households were expected to see mortgage payments rise as fixed-rate deals expired.