Halifax’s latest house price index suggests that the housing market built on its steady start to the year.

In February average prices rose by +0.3%, following an increase of +0.8% in January. 

Annual growth also picked up to +1.3%, its strongest rate for four months. 

Since the start of the year, average prices have increased by around £3,000, with a typical property now costing £301,151.

Amanda Bryden, Halifax’s head of mortgages, says: “These latest figures suggest the market has regained some momentum after a softer end to 2025. While industry data for January show a slight easing in new mortgage approvals, overall activity has continued to prove resilient.

“There’s no doubt that affordability remains stretched, supply is constrained, and regional disparities persist. For those without family support, the path to home ownership feels particularly challenging.

“However, conditions have been gradually improving, with easing interest rates and real wage growth helping to support buyer confidence.”

But she cautions that the Middle East conflict threatens to create rising energy prices which may lead to predicted interest rate cuts being delayed until later in 2026.