Monitoring the housing market and activity in the mortgage market, is very important for many, particularly those doctors and dentists who are looking to purchase their first home or who are investing in buy-to-let properties. Our monthly Property Price & Mortgage Update gives you a summary of what the experts are saying.
This article does not constitute advice. Professional advice should be taken prior to acting on any part of it.
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Approved by Best Practice IFA Group on 21 April 2026.
UK Property Market Update
According to Nationwide, UK House price growth rose to 2.2% last month, an increase from February’s rate of 1.0%. Prices also rose month-to-month, up to .9% from .3% in February. The average house price came in at £277,186, a healthy jump from £273,176 in February.
The recent acceleration in house price growth indicates that the market has begun to recover its footing following the softer conditions seen at the start of the year. That being said, the surge in global energy costs, driven by escalating tensions in the Middle East, has introduced a major new risk factor and has made the economic outlook far less certain.
Over the coming months, the UK economy may face weaker growth alongside renewed inflationary pressure, with both now likely to come in above earlier expectations. Much will depend on how prolonged the energy shock proves to be and how policymakers respond. For interest rates in particular, it will be difficult to predict what will happen, especially as it is still unclear whether the greater strain will fall on demand or on supply across the wider economy.
Bank Rate Influence
The market’s expectations for the Bank of England’s next decision on 30 April have changed sharply in a short space of time. At the end of March, pricing suggested that rates could rise three times over the following year. Before the strikes on Iran, however, markets had been anticipating two reductions instead. That reversal in sentiment has pushed longer-term borrowing costs significantly higher, with swap rates (a key driver of fixed mortgage pricing) rising accordingly.
If these higher rates persist, some of the gains made in housing affordability over recent years after the pandemic could begin to unwind. Combined with weaker consumer confidence and concerns over rising household energy bills, this is likely to weigh on buyer activity and reduce momentum across the housing market.
How will household finances fare?
While the labour market has noticeably softened in recent quarters, with unemployment edging closer to the highs seen during the pandemic, this has largely been due to more people returning to the workforce rather than a sharp deterioration in employment itself. Job levels have, on the whole, remained relatively stable.
Household balance sheets remain in comparatively good shape. Debt as a proportion of income is at its lowest point in around twenty years, and many households continue to hold cash reserves built up over the past few years. Importantly, those savings are far from evenly spread. These buffers should offer some protection against renewed financial strain, even if many families are still feeling the after-effects of the previous cost-of-living pressures.
With around 90% of existing mortgage borrowers on fixed-rate deals, the majority of borrowers are shielded from any immediate rise in rates. And although swap rates have moved up materially, the increase so far is still considerably less severe than the spike experienced in the period immediately following the pandemic. In fact, current levels remain broadly in line with those seen in late 2023 and early 2024.
Mortgage Rate Update
At the last Monetary Policy Committee (MPC) meeting on Thursday 19th March, the Bank of England announced it would hold the base rate at 3.75%.The next meeting is coming up on 30th April 2026 and experts in the market think a rate cut is unlikely.
An interest rate cut on 30 April is considered unlikely. The most likely outcome is a hold according to markets and the majority of economists surveyed by Reuters. Around 90% of respondents, 45 of 50, expected the Bank of England to hold Bank Rate at 3.75% on April 30, although 5 expected a 25-basis-point hike. Home Owners Alliance
Mortgages for Doctors and Dentists – Try Our Finder Tool
If you are planning to buy or sell property, contact an advisor for personalised mortgage advice.
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At Dental & Medical Financial Services, our advisers are dedicated to helping our clients select the right mortgage deal for your needs. If you are ready to take the fist step toward home-buying, contact us today.
Stay in the know
If you’re planning to buy or sell property this year, check back monthly for our regular update on the nation’s property prices and mortgage rates and contact one of our advisers for personalised advice.
At Dental & Medical Financial Services, our experts are dedicated to helping our clients select the right mortgage deal for their needs. If you’re ready to take the first step toward home-buying, get in contact with us today.
Sources
(1) Figures quoted from Nationwide House Price index – March 2026
