Real Estate in UK in the year 2024: What to expect?

AmarinderSingh Jaiswal
Nov 30, 2023
2 min read

Updated: Dec 10, 2023

As per recent data from the Office for National Statistics (ONS), there was a drop in housing prices annually during September. This is happened for the first time in a decade. The latest ONS House Price Index has further revealed that average property values fell 0.5% between August and September 2023 and by 0.1% annually to £291,385. The more recent reports have suggested monthly increase in property values for the month of October 2023. Halifax has attributed it to the increase in lack of properties rather than the improvement in buyers’ demand.

Overall, it seems like that the high borrowing costs have started to take a toll on property markets. The mortgage rate is higher hence people are more towards renting a property rather than buying it. The recent drop in inflation rate has given a hope of revival but things still look far from normal. The government has announced to increase the annual minimum wage and reduces income tax along with National Insurance. However, it aims to persist with higher interest rates till the first half of the next year.

The overall situation suggests that the future outlook of real estate in UK, at least short term, looks bleak. The low buying power has reduced people’s savings and affected their lifestyles. The cost-of-living crisis has further dampened the situation. There will be overall drop in demands, sales and house prices in coming months. Once the interest rate is reduced, we can expect a recovery in the property market. You can further learn on this topic here:

In conclusion, we can say that the economic situation is slightly improved, and we are on our way towards revival phase. The real estate in UK presents positive opportunities for the investors in years to come.