UK towns and citites with ‘hottest property market prospects in 2026’ unveiled | Personal Finance | Finance
Housing markets across Scotland and northern England will see the strongest house price growth in 2026, property website Zoopla predicts. Weaker price growth is expected in southern England, including London, as these markets continue to adjust to the impacts of higher mortgage rates and property taxes.
The website analysed several housing market indicators, such as housing affordability, the time it takes to sell homes, the number of properties on the market for over six months, and reductions in asking prices. These factors were considered to identify the postal areas with the most robust prospects for 2026. Areas topping the rankings typically had properties selling quickly, often without the need for asking price reductions and without an above-average amount of unsold stock.
Scottish markets lead the UK rankings, with only one location outside Scotland – Wigan in the North West of England – in the top 10, according to Zoopla.
Focusing solely on England, Wigan was followed by Liverpool (postal area L) and Stoke-on-Trent (postal area ST) among the markets with the strongest predicted prospects for 2026.
Zoopla has noted that, in contrast, house prices are already experiencing minor declines across southern England due to an abundance of supply and uncertainty leading up to the 2025 autumn Budget, which affected activity. Despite expectations of increased activity, buyers remain price-sensitive, according to Zoopla.
The company also highlighted opportunities in London for “canny buyers seeking value for money”.
In Wales, Cardiff (postal area CF), followed by Newport (postal area NP), have the most promising prospects for 2026.
Meanwhile, the website described Northern Ireland as “the hottest market for house price inflation over the last year”.
Zoopla said that house prices in Northern Ireland have bounced back from a low base, having lagged behind the rest of the UK over the past decade. The BT postal area covering Northern Ireland was ranked 25th out of 120 by Zoopla.
Richard Donnell, executive director at Zoopla, said: “Whether you’re buying or selling, local housing market conditions matter more than ever when making housing decisions in 2026. Basing decisions on the value of a home, affordability, demand and selling times in the local area will help sellers and buyers move with greater confidence.
“Our analysis highlights the areas with the strongest potential for continued growth in sales activity and above-average house price rises in 2026.
“While prospects are strongest in Scotland and northern England, opportunities exist across the UK where demand and affordability remain well aligned. Price growth is expected to be slower in lower-ranked markets, particularly across parts of southern England and London, although improving affordability means the outlook in London is more positive than in recent years.”
Zoopla also pointed out that the characteristics of individual homes and local variations in demand for different types of properties can influence the market performance of homes.
It noted that local estate agents can provide sellers with tailored insights into market conditions in their area.
Here are the top 10 UK housing markets with the most promising prospects for 2026, according to Zoopla, along with the postal area and the average house price:
1. ML – Motherwell, Scotland, £134,700.
2. G – Glasgow, Scotland, £163,600.
3. PA – Paisley, Scotland, £139,500.
4. FK – Falkirk, Scotland, £170,600
5. KY – Kirkcaldy, Scotland, £171,400.
6. EH – Edinburgh, Scotland, £251,500.
7. KA – Kilmarnock, Scotland, £126,200.
8. PH – Perth, Scotland, £206,200.
9. IV – Inverness, Scotland, £207,100.
10. WN – Wigan, North West, £175,800.
