Towns and cities across Scotland and Northern England have the best prospects for house price growth in 2026, according to new analysis by Zoopla.
While the property website is predicting just a 1.5 per cent increase in average house prices over the course of this year, it expects gains to be much bigger in certain parts of the country.
Areas across the south – including London – are set to under-perform the average, with prices already posting falls across southern England.
Zoopla has looked at the affordability of homes in 120 postal areas, how quickly they’re selling, how much asking prices are being cut and how many properties have been on the market for more than six months.
It found Scotland to have the best prospects, with just one of the top ten coming from outside the country.
The Motherwell (ML) postal area takes the top spot, with other markets in Scotland rounding out the top nine. Wigan in North West England also features.
| Location | Country/region | Average price | Annual price growth | Time to sell (days) | % stock >6m old | Asking price cut >5% | ||
|---|---|---|---|---|---|---|---|---|
| 1 | ML – Motherwell | Scotland | £134,700 | 3.40% | 14 | 7% | 8% | |
| 2 | G – Glasgow | Scotland | £163,600 | 3.00% | 14 | 6% | 4% | |
| 3 | PA – Paisley | Scotland | £139,500 | 3.40% | 17 | 7% | 13% | |
| 4 | FK – Falkirk | Scotland | £170,600 | 4.20% | 14 | 5% | 8% | |
| 5 | KY – Kirkcaldy | Scotland | £171,400 | 4.20% | 17 | 6% | 13% | |
| 6 | EH – Edinburgh | Scotland | £251,500 | 1.70% | 14 | 6% | 9% | |
| 7 | KA – Kilmarnock | Scotland | £126,200 | 2.40% | 22 | 11% | 13% | |
| 8 | PH – Perth | Scotland | £206,200 | 3.10% | 25 | 8% | 22% | |
| 9 | IV – Inverness | Scotland | £207,100 | 3.50% | 24 | 6% | 23% | |
| 10 | WN – Wigan | North West | £175,800 | 3.00% | 32 | 9% | 19% |
These markets do not have lots of unsold stock meaning fewer asking price reductions and faster price growth.
For example, in Motherwell homes are taking just 14 days to sell on average, only 8 per cent of homes need an asking price cut of 5 per cent or more and 7 per cent of homes have been on the market for six months or more, Zoopla says.
House prices in Motherwell rose 3.4 per cent last year.
It’s a similar story in Falkirk. Homes there take 14 days to sell on average, only 5 per cent of homes on the market have been on for over six months and 8 per cent of listed properties have needed a price cut of 5 per cent or more.
House prices rose 4.2 per cent in Falkirk last year and there is a good chance of a similar scenario playing out in 2026, according to Zoopla’s analysis.
In England, Zoopla’s figures suggests Wigan, Liverpool and Stoke-on-Trent are likely to be among the best performing areas.
It says the towns and cities where homes remain affordable or accessible to large employment centres allow scope for more sales and price inflation.
Wigan, in Greater Manchester, recorded 3 per cent house price growth last year. It takes 32 days to sell on average, 9 per cent of the homes for sale are over six months old and 19 per cent of homes require a price cut of 5 per cent or more.
Richard Donnell, executive director at Zoopla, said: ‘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.’
Prices to struggle down south
House prices in towns and cities across the south of England are the most likely to see prices fall this year.
This is largely down to affordability pressures resulting from higher house prices, and the fact the market is still adjusting to higher mortgage rates.
These markets have also seen a greater increase in homes for sale, according to Zoopla, boosting buyer choice.
Zoopla expects house prices across London to struggle the most, reflecting both their combined average price of £711,140 and longer times to sell.
Zoopla expects house price growth across the south to be between 0 per cent and 1 per cent in 2026.
Richard Donnell, executive director at Zoopla
It says value for money is slowly returning to the London property market after a decade of below-average growth.
Although many London areas sit at the bottom of the rankings, prospects in London are much improved on those over recent years and there are some opportunities for canny buyers seeking value for money.
‘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,’ added Donnell.
‘The characteristics of individual homes matters too and how much demand there exists locally for different types of homes which might perform better than the local market.
‘It is important for serious sellers, speaking to local agents to get tailored insight into local conditions and how to price and market their home for a successful sale in 2026.’
