(Sharecast News) - UK house prices rose in May as market confidence remained "surprisingly strong", according to data released on Monday by Rightmove.
According to the latest house price index from the property portal, average new selling asking prices increased 1.2% on the month to £378,304, following a 0.8% jump in April. Rightmove said the average house price exceeded the typical 10-year May increase of 1%, signalling a stronger than usual seasonal uplift.
"Housing market activity remains surprisingly confident overall despite global uncertainty and the resulting cost-of-living pressures," it said.
On the year, prices were down 0.3% in May, although this was an improvement on April's 0.9% decline.
The number of agreed sales was 4% lower than the previous year, when mortgage rates were significantly lower. They were up 2% on the same period in 2024 and Rightmove said this "relative stability" suggests many movers are continuing with their plans where affordability allows, even in a period of greater global uncertainty.
Colleen Babcock, property expert at Rightmove, said: "It's normal to see asking prices pick up as we move through the spring selling season. What's notable this month is that activity in the market is staying fairly steady, even with ongoing cost‑of‑living pressures and wider global uncertainty. The number of sales agreed is holding up well, consistent with trends we've seen in 2026 so far.
"However, this overall positive national monthly snapshot masks a north-south divide in year-on-year seller pricing-power. Prices are rising in the north, but all sellers should note that buyer choice is now at its highest level for this time of year since 2015. Getting the asking price right from the outset is therefore increasingly important, as homes priced too ambitiously are taking longer to sell."
Matt Smith, Rightmove's mortgage expert, said that while mortgage rates remain higher than many buyers would like, the picture on affordability has become a little more supportive this month.
"Small rate falls can make a meaningful difference to monthly budgets, and when combined with greater flexibility in lending following last year's review of affordability rules, many buyers are still able to make the numbers work," he said.
"This helps to explain why activity has continued to hold up, particularly among first‑time buyers. Price sensitivity is clearly feeding through into more restrained pricing at the entry level, but importantly this reflects affordability shaping the market rather than a drop‑off in appetite. Where homes are priced realistically and budgets stack up, many buyers are still pressing ahead with their plans."