{"id":28152,"date":"2026-02-11T05:40:09","date_gmt":"2026-02-11T05:40:09","guid":{"rendered":"https:\/\/www.benhams.com\/news\/?p=28152"},"modified":"2026-04-02T13:55:58","modified_gmt":"2026-04-02T12:55:58","slug":"uk-housing-market-biggest-monthly-price-jump-in-over-a-decade","status":"publish","type":"post","link":"https:\/\/www.benhams.com\/news\/london-property-market\/uk-housing-market-biggest-monthly-price-jump-in-over-a-decade\/","title":{"rendered":"UK housing market reports biggest monthly price jump in over a decade"},"content":{"rendered":"<p>Rightmove reported an impressive <a href=\"https:\/\/www.rightmove.co.uk\/news\/content\/uploads\/2026\/01\/Rightmove-HPI-19-January-Final.pdf\" rel=\"nofollow noopener\" target=\"_blank\">2.8% growth in the average price <\/a> of homes coming to the market in January 2026. While this is the largest ever price increase seen in the month for January, it is also the largest for any month since June 2015.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-housing-market-reports.webp\" alt=\"UK housing market reports\" width=\"1200\" height=\"675\" class=\"aligncenter size-full wp-image-28154\" srcset=\"https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-housing-market-reports.webp 1200w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-housing-market-reports-300x169.webp 300w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-housing-market-reports-1024x576.webp 1024w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-housing-market-reports-768x432.webp 768w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-housing-market-reports-150x84.webp 150w\" sizes=\"auto, (max-width: 706px) 89vw, (max-width: 767px) 82vw, 740px\" \/><\/p>\n<h2>Key highlights from January 2026<\/h2>\n<ul class=\"icon-listing dot-icon mb10\">\n<li>\tAverage property prices across the UK and in London increased by 2.8%.<\/li>\n<li>\tThe average price of a London home is 84.7% more than the national average.<\/li>\n<li>\tMonthly price growth in London was highest in Westminster (3.4%) and Hillingdon (2.4%).<\/li>\n<li>\tWhile buyer demand rose 57%, the number of homes listed for sale increased 81%.<\/li>\n<li>\tThe average rent in London increased by 2.1% and is currently \u00a32,268.<\/li>\n<\/ul>\n<h2>A post-Budget rebound in market sentiment<\/h2>\n<p>With the uncertainty around <a href=\"https:\/\/www.benhams.com\/news\/landlords\/uk-autumn-statement-2025-property-tax-predictions\/\">higher property taxes<\/a> put to rest in the last Autumn Budget, property prices rebounded sharply in January as <a href=\"https:\/\/www.benhams.com\/news\/landlords\/why-london-houses-are-in-high-demand-in-2026\/\">buyer and investor sentiment improved<\/a>. The average price of a home in the UK increased by 2.8% to reach \u00a3368,031, while the monthly average for London was also up by 2.8% and reached \u00a3679,782 after dropping to <a href=\"https:\/\/www.benhams.com\/news\/london-property-market\/uk-property-sales-hit-three-year-high\/\">\u00a3661,186 in December 2025<\/a>. Compared with annual data, average property prices in the UK are up 0.5% YoY and 0.9% in the capital.<\/p>\n<h2>Westminster and Hillingdon are the top-performing London Boroughs<\/h2>\n<p>Within the UK capital, the central <a href=\"https:\/\/www.benhams.com\/london-area-guides\/westminster\/\">London Borough of Westminster<\/a> recorded the best monthly growth as prices increased by 3.4%, followed by Hillingdon\u2019s 2.4% growth. Havering and Tower Hamlets were among the Boroughs that recorded the highest annual growth in prices of 4.3% and 4.2% respectively.<\/p>\n<h2>Top 5 London Boroughs with the highest monthly price growth<\/h2>\n<div class=\"table-responsive mb20\">\n<table class=\"press-table textfLeft table-fixed font-15\" border=\"1\">\n<thead>\n<tr class=\"bg-table-blue\">\n<th style=\"text-align:left;\">Borough<\/th>\n<th>Avg. price in Jan 2026<\/th>\n<th>Monthly Change <\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Westminster<\/td>\n<td>\u00a31,399,314<\/td>\n<td>3.4%<\/td>\n<\/tr>\n<tr>\n<td>Hillingdon<\/td>\n<td>\u00a3565,644<\/td>\n<td>2.4%<\/td>\n<\/tr>\n<tr>\n<td>Newham<\/td>\n<td>\u00a3462,932<\/td>\n<td>0.8%<\/td>\n<\/tr>\n<tr>\n<td>Croydon<\/td>\n<td>\u00a3477,807<\/td>\n<td>0.6%<\/td>\n<\/tr>\n<tr>\n<td>Barking and Dagenham<\/td>\n<td>\u00a3379,261<\/td>\n<td>0.5%<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<h2>Top 5 London Boroughs with the highest annual price growth<\/h2>\n<div class=\"table-responsive mb20\">\n<table class=\"press-table textfLeft table-fixed font-15\" border=\"1\">\n<thead>\n<tr class=\"bg-table-blue\">\n<th style=\"text-align:center;\" width=\"290\">Borough<\/th>\n<th style=\"text-align:center;\" width=\"280\">Avg. price in Jan 2026<\/th>\n<th>Annual Change <\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Havering <\/td>\n<td>\u00a3497,894<\/td>\n<td>4.3%<\/td>\n<\/tr>\n<tr>\n<td>Tower Hamlets<\/td>\n<td>\u00a3619,072<\/td>\n<td>4.2%<\/td>\n<\/tr>\n<tr>\n<td>Southwark<\/td>\n<td>\u00a3674,507<\/td>\n<td>3.2%<\/td>\n<\/tr>\n<tr>\n<td>Richmond upon Thames<\/td>\n<td>\u00a3920,821<\/td>\n<td>2.7%<\/td>\n<\/tr>\n<tr>\n<td>Waltham Forest<\/td>\n<td>\u00a3575,011<\/td>\n<td>2.3%<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<p><em>Disclaimer: Prices changes and updates as per Rightmove House Price Index published on January 19, 2026<\/em><\/p>\n<h2>Rebound in market activity as buyer demand and sale listings increase<\/h2>\n<p>Activity in the housing market picked up after the usual festive lull, as buyer demand rose by 57% in the two weeks after Christmas. The number of <a href=\"https:\/\/www.benhams.com\/new-homes\/\">new homes listed for sale<\/a> also increased by 81% during the same time.<\/p>\n<p>Although Rightmove reported its busiest-ever Boxing Day visits, demand was slightly lower than at the start of 2025, when buyers were trying to beat the Stamp Duty deadline in April 2025. However, with demand picking up at the start of 2026, the market is showing positive signs as we head towards the <a href=\"https:\/\/www.benhams.com\/news\/renting\/spring-property-selling-checklist-london\/\">peak Spring selling season<\/a>.<\/p>\n<h2>New Bill draft banning leasehold and capping ground rents<\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-leasehold-reform.webp\" alt=\"UK leasehold reform 2026\" width=\"1200\" height=\"675\" class=\"aligncenter size-full wp-image-28134\" srcset=\"https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-leasehold-reform.webp 1200w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-leasehold-reform-300x169.webp 300w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-leasehold-reform-1024x576.webp 1024w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-leasehold-reform-768x432.webp 768w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/uk-leasehold-reform-150x84.webp 150w\" sizes=\"auto, (max-width: 706px) 89vw, (max-width: 767px) 82vw, 740px\" \/><\/p>\n<p>The UK Government added more details to its draft <a href=\"https:\/\/www.gov.uk\/government\/consultations\/moving-to-commonhold-banning-leasehold-for-new-flats\/moving-to-commonhold-banning-leasehold-for-new-flats\" rel=\"nofollow noopener\" target=\"_blank\">Leasehold and Commonhold Reform Bill <\/a>, which aims to ban the use of leasehold for new flats and replace it with a reformed commonhold model as a default tenure. In a move that will benefit millions of leaseholders, the proposed Bill also aims to <a href=\"https:\/\/www.benhams.com\/news\/property-advice\/uk-leasehold-reform-2026-ground-rent\/\">cap ground rents at \u00a3250 a year<\/a>, with the rate reduced to a peppercorn after 40 years.<\/p>\n<h2>New development launches in Hong Kong and Malaysia<\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/battersea-ransomes-wharf.webp\" alt=\"Battersea, Ransome\u2019s Wharf.\" width=\"1200\" height=\"675\" class=\"aligncenter size-full wp-image-28155\" srcset=\"https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/battersea-ransomes-wharf.webp 1200w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/battersea-ransomes-wharf-300x169.webp 300w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/battersea-ransomes-wharf-1024x576.webp 1024w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/battersea-ransomes-wharf-768x432.webp 768w, https:\/\/www.benhams.com\/news\/wp-content\/uploads\/2026\/02\/battersea-ransomes-wharf-150x84.webp 150w\" sizes=\"auto, (max-width: 706px) 89vw, (max-width: 767px) 82vw, 740px\" \/><\/p>\n<p>Benham and Reeves Hong Kong hosted the launch of London Square\u2019s latest property development in Battersea, <a href=\"https:\/\/www.benhams.com.hk\/london\/ransomes-wharf-battersea-sw11\/\">Ransome\u2019s Wharf<\/a>. A riverside development by the Thames, buyers and investors can choose from a range of one to four-bedroom homes at this brand-new scheme.<\/p>\n<p>Meanwhile, our Malaysia office will be showcasing a new riverfront development by Berkeley Group in Bath. <a href=\"https:\/\/www.benhams.com.my\/somerset\/one-waterside-bath-ba2\/\">One Waterside<\/a> is a collection of beautiful studios, one, two and three-bedroom apartments near the River Avon.<\/p>\n<h2>Benham and Reeves India team in London<\/h2>\n<p><a href=\"https:\/\/www.benhams.com\/videos\/property-market-updates\/video-guide-why-indians-should-invest-in-london\/\">Homebuyers and investors<\/a> from India can book an exclusive <a href=\"https:\/\/www.benhams.com\/new-homes\/\">London property tour<\/a> with the Benham and Reeves India team, who are currently in London. This personalised tour covers sought-after development sites across the UK capital.<\/p>\n<h2>Rent inflation in London slows down amid rising stock levels<\/h2>\n<p>The Office for National Statistics reported a <a href=\"https:\/\/www.ons.gov.uk\/economy\/inflationandpriceindices\/bulletins\/privaterentandhousepricesuk\/january2026\" rel=\"nofollow noopener\" target=\"_blank\">2.1% increase in average monthly<\/a> London rents, which is slower compared to the 4% inflation in average rents across the UK. At \u00a32,268, the average rent in the capital is 66% higher than the national average of \u00a31,368.<\/p>\n<p>This slowdown in rental inflation comes at a time when the availability of rental stock in London is higher than usual, as LonRes reported 36.6% more homes on the market across prime London. The property data platform also reported a 16.9% annual increase in lettings agreed and 59.1% increase in new instructions.<\/p>\n<h2>Improved affordability boosts landlord sentiment<\/h2>\n<p>According to Rightmove\u2019s latest <a href=\"https:\/\/hub.rightmove.co.uk\/content\/uploads\/2026\/01\/Rental-Trends-Tracker-Q4-2025-FINAL.pdf?utm_source=adobe&#038;utm_medium=email&#038;utm_campaign=cus-ea-lt-market-update-rental-trends-tracker_16-01-26&#038;brandID=&#038;utm_content=\" rel=\"nofollow noopener\" target=\"_blank\">rental trends tracker<\/a>, the average two-year <a href=\"https:\/\/www.benhams.com\/news\/landlords\/london-buy-to-let-trends-for-landlords\/\">buy-to-let (BTL) mortgage rate for a landlord<\/a> with a 25% deposit is 4.84%, compared with 5.51% last year. This has boosted rental investment activity, as the number of new BTL mortgages increased by 13% in the year to October 2025, while remortgages increased by 23%, suggesting renewed confidence among landlords.<\/p>\n<p>As your trusted <a href=\"https:\/\/www.benhams.com\/team\/lettings\/\">property lettings<\/a> and <a href=\"https:\/\/www.benhams.com\/services\/property-management\/\">management partner<\/a> in London, Benham and Reeves offers a <a href=\"https:\/\/www.benhams.com\/services\/\">range of services<\/a> to help buyers, investors, landlords and sellers achieve successful outcomes. Our <a href=\"https:\/\/www.benhams.com\/contact\/\">21 London branches<\/a> are supported by <a href=\"https:\/\/www.benhams.com\/international\/offices\/\">13 international offices<\/a> and multiple country desks.<\/p>\n<p>Whether you are looking to buy, <a href=\"https:\/\/www.benhams.com\/sell\/\">sell<\/a> or <a href=\"https:\/\/www.benhams.com\/landlord\/\">let your London property<\/a>, you can <a href=\"https:\/\/www.benhams.com\/contact\/\">contact us<\/a> for the right assistance.<\/p>\n<p><iframe loading=\"lazy\" width=\"100%\" height=\"480\" src=\"https:\/\/www.youtube.com\/embed\/8wAnAU8TrA8\" title=\"London Property Market Update | 2026 Off to a Strong Start\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Rightmove reported an impressive 2.8% growth in the average price of homes coming to the market in January 2026. While this is the largest ever price increase seen in the month for January, it is also the largest for any month since June 2015.<\/p>\n","protected":false},"author":5,"featured_media":28162,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[451],"tags":[],"class_list":["post-28152","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-london-property-market"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/posts\/28152","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/comments?post=28152"}],"version-history":[{"count":9,"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/posts\/28152\/revisions"}],"predecessor-version":[{"id":28480,"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/posts\/28152\/revisions\/28480"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/media\/28162"}],"wp:attachment":[{"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/media?parent=28152"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/categories?post=28152"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benhams.com\/news\/wp-json\/wp\/v2\/tags?post=28152"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}