Rightmove: UK Asking Prices Rise 1% to £371,015 as Mortgage Rates Bite
The average price of a newly listed home in Great Britain rose by 1.0% in October 2026 to £371,015, up £3,575 from £367,440 in September, according to Rightmove's House Price Index. But the headline rise hides a flat market: prices are virtually flat compared with a year ago, down 0.1%, and Rightmove says rising mortgage rates are now biting harder.
Two scope notes matter before the numbers. Rightmove measures asking prices for newly listed homes, not completed sale prices, and its figures are framed for Great Britain. So this is a story about what sellers are asking, not what buyers ultimately paid.
Rates are doing the damage
Rightmove's daily mortgage tracker puts the average two-year fixed mortgage rate at 5.55%, up from 5.29% last month and 4.25% before the war in Iran started in February, in Rightmove's own framing. That is a rise of 0.26 percentage points since last month and 1.30 percentage points since February. Rightmove states the rise adds around £250 a month to the cost of a typical new mortgage since February.
"The rapid rise in mortgage rates is really beginning to hit buyers' budgets," said Colleen Babcock, Rightmove property expert.
The effect shows up first where homes are cheapest. New sellers in four of the five lowest priced parts of Great Britain set lower asking prices this month: the North East fell 2.0%, Scotland fell 1.9%, the North West fell 0.6%, and Wales fell 0.3%. Yorkshire and the Humber was the exception, rising 0.3%.
Sales down, choice up
Sales activity is holding up better than the rate shock might suggest, but it is still down. The number of sales agreed is 8% lower than a year ago, broadly in line with the year to date, according to Rightmove. The number of new potential buyers contacting agents about properties is 9% lower than a year ago, while the number of new listings coming to market is 3% higher.
The total number of homes available for sale remains at its highest level for this time of year since 2014, Rightmove says. That qualifier matters: it is the highest for this time of year, not the highest ever. More choice for buyers plus higher borrowing costs is a combination that limits seller pricing power.
By market sector (from a Rightmove table excluding inner London), first time buyer homes averaged £225,627, up 0.2% month on month but down 0.5% year on year; second stepper homes averaged £345,170, up 0.1% month on month and up 0.3% year on year; and top of the ladder homes averaged £678,431, up 0.8% month on month and up 0.3% year on year.
London jumps, but do not call it a recovery
London asking prices rose 2.5% this month to £673,942, clawing back some of the 6% fall across July and August. But London prices remain 1.7% below last year. London's monthly jump follows a particularly weak summer, and Rightmove notes it is typical to see stronger seasonal price growth in London at this time of year.
September had already shown a smaller rise of 0.7%, so October's 1.0% national rise is a step up from September, not a breakout. The annual picture is what counts: £371,015 now versus £371,422 in October 2025, a difference of £407, which is the 0.1% annual fall in rounded terms.
What to watch next
Attention now turns to two dates. The Chancellor of the Exchequer will present Budget 2026 to Parliament on Wednesday, October 28, 2026, according to GOV.UK. Rightmove says some first time buyers may be waiting for more detail on the recently announced Your First Home scheme for new build properties; that is Rightmove's statement about buyer behaviour, not a verified statement of scheme policy. The Bank of England's Monetary Policy Committee announcement and Monetary Policy Report publication for November are listed for November 5, 2026.
For buyers, the practical read is that higher rates have already changed what sellers can ask in cheaper regions, and the national average is being held up by London and the top end. For sellers, the data rewards realistic pricing from the start: in a market where the total number of homes available for sale is at its highest level for this time of year since 2014, an overpriced listing has more competition than it did a year ago.
The UK picture so far: prices flat on the year, sales down. Related coverage: Redfin asking prices and Freddie Mac mortgage rates.
Frequently Asked Questions
What is the average UK asking price in October 2026?
The average asking price for a newly listed home in Great Britain was £371,015 in October 2026, up 1.0% (£3,575) from September, according to Rightmove.
Are UK house prices up or down compared with last year?
Down very slightly. Prices are 0.1% below a year ago, which Rightmove describes as virtually flat compared with a year ago.
What is the average two-year fixed mortgage rate according to Rightmove?
Rightmove's daily mortgage tracker puts the average two-year fixed rate at 5.55%, up from 5.29% last month and 4.25% in February, according to Rightmove.
Why are asking prices falling in cheaper regions?
New sellers in four of the five lowest priced parts of Great Britain set lower asking prices in October. The North East fell 2.0% and Scotland fell 1.9% in October.
What happens next for UK house prices?
Two dates matter: the UK Budget on Wednesday, October 28, 2026, and the Bank of England's Monetary Policy Committee announcement on November 5, 2026. Rightmove says some first time buyers may be waiting for more detail on the Your First Home scheme.
