While headline figures show UK house prices hitting a new record of $pounds$299,862, experts warn that this success masks a significant “stretch” for prospective buyers. The 0.6% price rise in October, the fastest since January, is running up against the hard reality of affordability.
According to Amanda Bryden, head of mortgages at Halifax, affordability continues to be the number one challenge. Record-level property prices are forcing many buyers to make difficult choices, such as accepting longer mortgage terms or putting down smaller deposits to make their purchase viable.
This financial pressure is compounded by the wider cost of living. “Rising costs for everyday essentials are also squeezing disposable incomes, which affects how much people are willing or able to spend on a new property,” Bryden said. This makes the decision to move feel like a huge financial leap for many.
Despite these hurdles, buyer demand has remained surprisingly resilient. The number of new mortgages approved recently hit a 2025 high, showing that many are still determined to get on or move up the property ladder. This demand is what pushed prices upward in October, reversing a dip from the previous month.
There may be a silver lining. Bryden noted that with house prices rising more slowly than incomes for almost three years, the trend of gradually improving affordability is expected to continue, even if the high price tags make it feel otherwise for now.