Asking prices are forecast to rise by 2% next year, with first-time buyers set to benefit from more favourable market conditions, according to Rightmove.

The property portal has published its house price predictions for 2026, forecasting that new seller asking prices will increase by 2% by the end of the year. This follows an unexpected fall of 0.6% in 2025. Rightmove described this year as a “tale of two halves”, with early momentum driven by buyers rushing to complete purchases ahead of changes to Stamp Duty thresholds, followed by a slowdown in the second half after the Budget dampened confidence.

Looking ahead, Rightmove expects the 2026 market to more closely resemble the second half of 2025 than the first. Improved affordability, alongside a good choice of homes for sale, is expected to support higher levels of market activity.

While overall price growth is predicted to remain modest, Wales, Scotland and the north of England are expected to outperform London and the south of England. Rightmove attributes this to stronger affordability and a more balanced relationship between supply and demand in these regions.

The portal also suggests that some first-time buyers will be well placed to take advantage of market conditions in 2026, as affordability improves, interest rates fall and wages continue to rise. A high level of homes available for sale is expected to keep conditions firmly in buyers’ favour, giving first-time buyers greater negotiating power.

However, Rightmove notes that many first-time buyers are still likely to rely on financial support from the so-called “Bank of Mum and Dad”.

At the upper end of the market, the portal anticipates “sluggishness and volatility”, as owners of prime properties respond to the introduction of a new Mansion Tax on homes valued at £2 million or more.

Colleen Babcock, Property Expert at Rightmove, said: “2026 will be a mix of some key property market themes continuing and new trends emerging. We expect many of those who paused their moving plans over recent months will restart them from Boxing Day and into the new year, now the Budget is out of the way.

“We predict the market will look and feel very different depending on where you are in Great Britain and the type of property you are buying or selling, with particularly stark contrasts between the south of England and the rest of the country. Market conditions next year are likely to favour typical first-time buyers over those operating at the top end of the market.”