Housing market steady despite rising mortgage rates, says Rightmove

The housing market remained steady in April despite rising mortgage rates due to global uncertainty, according to Rightmove.

The property website’s latest house price index showed the average new seller asking price rose 0.8% in April, which was consistent with the beginning of the year but below the long-term average for the month.

Year-on-year, prices were down 0.9%, with the national average asking price coming to stand at £373,971.

Buyer demand was down 7% on last year, mirroring the trend seen in the other months of 2026. According to Rightmove, this is down to the strong demand in 2025 in advance of the rise in stamp duty. 

Rightmove’s daily mortgage tracker shows that the average two‑year fixed rate has risen to 5.42%, from 4.25% before the start of the war in Iran.

“With mortgage rates remaining elevated due to the war in Iran, it’s not a surprise that price growth is proving strongest in parts of the market less exposed to higher borrowing costs,” said Rightmove property expert Colleen Babcock, citing Scotland as an example of resilience, with average prices rising by over 4%.

She said: “However, for most of the market, the combination of rising mortgage rates and the number of homes for sale being at its highest level for the time of year over a decade, means that competitive pricing is crucial for sellers looking to attract buyer interest and secure a sale this spring.”

Babcock added that while higher mortgage rates were impacting affordability, this was offset partly by rising wages, lower house prices and more flexible borrowing.