UK home prices grew by 0.9% in January after several months of falls

Posted on January 20, 2023   |  

In January, the UK housing market showed signs of recovery as house prices grew by 0.9% and despite rising mortgage rates and a weak economic backdrop, the number of prospective buyers contacting agents increased by 55% compared to the two weeks before Christmas.

The increase is the biggest New Year bounce since 2016 although overall inquiries fell by over a third (36%) compared to the same time last year.

The average two-year fixed rate now stands at 5.63%, down from 5.79% and continuing to decline from over 6% in the wake of Quasi Kwarteng's infamous mini-budget.