Northern Ireland continues to record the fastest house price growth in the UK, with average prices up 3.6% year on year in August to £244,467, according to the latest PropertyPal market snapshot. This compares with average UK prices falling by 0.4% over the same period, based on Lloyds data cited by PropertyPal.
Sales activity shows signs of cooling
Despite the price growth, the market showed signs of losing momentum. Around 2,150 properties reached sale agreed during August, which was 7% fewer than the 2,300 recorded a year earlier. Sales enquiries also fell by 5.6%.
However, PropertyPal said homes took the same amount of time to reach sale agreed as they did in August 2025, suggesting underlying demand remains intact.
Market outlook uncertain
Jordan Buchanan, chief executive of PropertyPal, said: “Northern Ireland house prices continue to grow at the fastest rate across the UK, up 3.6% over the last year.”
He added: “This compares to average UK prices falling by 0.4%, according to the latest data from Lloyds. There were approximately 2,150 properties agreed for sale during August, down 7% on last year’s 2,300, with wider data points showing some cooling in market activity.”
Buchanan attributed the cooling to uncertainty over inflation and interest rates, which he said had affected confidence across the wider housing market. He noted: “Even so, it’s taking buyers exactly as long to agree a sale as it did a year ago, which suggests underlying demand remains healthy.”
Rental enquiries decline
The rental market also recorded a slowdown, with rental enquiries falling by 3% year on year in August. The average monthly rent stood at £1,023.
Buchanan warned that the outlook for the housing market remained uncertain as borrowing costs come under renewed pressure. He said: “Financial markets are no longer pricing in rate cuts, and are now leaning towards the Bank of England raising interest rates before the end of the year.”
For agents, the August figures point to a market where prices continue to rise despite fewer enquiries and fewer properties reaching sale agreed.
