Average house price drops to £296,285 as prices fall 0.6% in October
The Lloyds index, formerly the Halifax index, shows prices 1.2% lower than a year ago, though Northern Ireland, Scotland, Wales and three English regions are still rising.
The typical UK home cost £296,285 in October, down from £298,167 in September, according to the Lloyds House Price Index published on Friday.
The 0.6% monthly fall was bigger than September's 0.1% dip. Prices were 1.2% lower than in October last year, the largest annual fall since October 2023, and 0.5% lower over the latest quarter.
The index was known as the Halifax House Price Index until July this year. Only the name has changed: it is worked out in the same way, using mortgage data from both Halifax and Lloyds.
Nations and regions
Northern Ireland had the strongest annual growth in the UK, although it slowed sharply, from 6.9% in September to 4.4%. The average home there is now £228,708.
- Northern Ireland: +4.4%, average £228,708
- Scotland: +2.8%, average £222,667
- North West: +2.2%, average £249,916
- North East: +2.0%, average £184,318
- Wales: +1.6%, average £233,116
- West Midlands: +0.3%, average £261,656
- South East: -2.4%, average £379,258
- South West: -2.4%, average £298,057
- Greater London: -3.1%, average £524,892
Growth in Wales picked up slightly. The North West, North East and West Midlands were the only English regions where prices were higher than a year ago, while much of southern England saw falls, led by London.
Fewer sales going through
HMRC's provisional figures show 94,800 residential property transactions across the UK in September after seasonal adjustment, 0.5% fewer than in August and 3.6% fewer than in September 2025.
Lloyds said the market was likely to stay subdued in the near term but that it did not expect a long run of falling prices. With wages rising faster than house prices, the bank said, homes should gradually become more affordable.
