# House prices suffer biggest drop in three years

- URL: https://talkfuse.com/story/house-prices-suffer-biggest-drop-in-three-years/
- Published: 2026-11-06T09:24:41+00:00
- Updated: 2026-11-06T09:33:41+00:00
- Original publisher: City AM (publisher lean: Right)
- Original article: https://www.cityam.com/house-prices-suffer-biggest-drop-in-three-years/
- Topics: Business, Economy, UK, World

## Key points

- UK house prices fell 1.2 per cent in the year to October.
- London recorded a 3.1 per cent annual decline.
- Experts expect subdued conditions as borrowing costs stay high.

## Summary

New forecasts suggest UK house prices may continue falling, as persistently high borrowing costs and inflation concerns weigh on buyers. The latest figures show the sharpest annual decline in three years, raising concern that confidence in the housing market could weaken further after the Bank of England’s interest rate rise.

The Lloyds index recorded a 1.2 per cent fall to an average £296,285 in the year to October, compared with a 0.1 per cent decline in the year to September. London prices fell 3.1 per cent to £524,892, while the North East and North West saw annual growth of 2 and 2.2 per cent respectively. A revived Help to Buy scheme is due to start in April, though experts say affordability and borrowing costs remain concerns.

## Coverage

- [City AM: House prices suffer biggest drop in three years](https://www.cityam.com/house-prices-suffer-biggest-drop-in-three-years/)
- [Daily Express: Lloyds records biggest annual drop in UK house prices in three years](https://www.express.co.uk/finance/personalfinance/2263790/lloyds-biggest-annual-fall-house-prices-uk)

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.