UK Housing Market Sees Rebound as Demand Rises Post-Budget Announcement

UK house prices experienced a rebound in January, according to data from Halifax, one of the country's largest mortgage lenders. According to Jin10, the average residential price increased by 0.7%, reaching a record high of £300,077. This rise not only offset the previous month's 0.6% decline but also marked the fastest growth since November 2024, ending a two-month downturn. The data suggests a turnaround in the real estate market following a challenging 2025. Last year, higher transaction costs led potential buyers to adopt a cautious approach, a sentiment that persisted until Chancellor Reeves announced the budget in November. The budget introduced an additional £26 billion in taxes, including a new levy on homes valued over £2 million.