LONDON, Aug. 20 — UK house prices rose 2.0% year-on-year in June 2026, bringing the national average home price to £272,000, according to the latest UK House Price Index (UK HPI) released by HM Land Registry on August 19.
Month-on-month growth was a modest 0.1%, marking a deceleration from May’s expansion and reflecting a broader cooling in the property market amid sustained borrowing costs.
Divergence Across English Regions In England, the average house price stood at £293,000 in June, up 1.8% annually and 0.2% monthly. However, regional markets exhibited stark divergence.
Northwest England led the annual growth chart with a robust 4.7% increase. Conversely, London emerged as one of the few regions experiencing year-on-year price declines; the capital’s average home price fell 2.5% to £554,000, though it did record a 1.0% month-on-month recovery.
Looking at monthly momentum, Northeast England posted the strongest performance with a 1.0% increase, while the East Midlands saw the largest decline at 0.7%.
Welsh Market and Property Type Dynamics In Wales, the average house price reached £213,000 in June, up 1.8% year-on-year but down 0.9% month-on-month.
Property type analysis reveals acute pressure on the apartment market across England, with flat prices falling 2.3% compared to last year. In contrast, detached, semi-detached, and terraced houses all achieved annual price gains. London’s apartment market faced particular headwinds, with prices dropping 4.7% year-on-year as buyers continue to prioritize space and hybrid-working flexibility.
Transaction Volumes and Market Liquidity After seasonal adjustment, UK residential transactions valued at £40,000 and above totaled 99,000 in June 2026. This represents a 2.5% increase compared to the same period last year, though it edged down 0.2% from May.
The report cautioned that property transactions typically require six to eight weeks from contract exchange to completion registration. Consequently, monthly data can be inherently volatile, and single-month indicators should be interpreted with caution against broader quarterly trends.