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.
This document is intended to be for information purposes only and it is not intended as promotional material in any respect. The material is not intended as an offer or solicitation for the purchase or sale of any financial product. Your home may be repossessed if you do not keep up repayments on a mortgage or other loans secured on it.
Dental & Medical Financial Services is not responsible for the accuracy or content of third-party sources.
Approved by Best Practice IFA Group on 20 March 2026.
UK Property Market Update
According to Nationwide, UK House price growth remained flat at 1% last month, marking no change from January. Prices also remained steady from month-to-month, keeping hold at .3%. The average house price came in at £273,176, up slightly from £270,873 in January.
These figures support the idea of a gradual rebound following a slowdown at the end of 2025, likely driven by uncertainty surrounding possible property tax changes ahead of the Budget. Even so, mortgage approvals for home purchases remain broadly in line with pre-pandemic norms.
Looking at 2025 in its entirety, housing market transactions rose by 10% compared with 2024. Better affordability and credit conditions loosening have played a key role in boosting first-time buyer activity, with mortgage completions increasing by 18% year on year. Activity among home movers has also strengthened, with mortgage transactions in this segment climbing 15% over the same period.
Meanwhile, buy-to-let purchases funded by mortgages have edged higher, though volumes are still relatively muted by historical standards. This reflects ongoing challenges in the sector, including the impact of higher interest rates — which tend to weigh more heavily on landlord demand than on owner-occupiers — as well as regulatory changes that continue to influence investor sentiment.
Cash purchases remained broadly stable year on year. However, their share of overall transactions has declined in recent years, accounting for 35% in 2025, down from a peak of 42% in 2023.
Looking ahead, housing market activity is expected to continue its recovery over the coming quarters, particularly if the affordability improvements seen last year are sustained.
Mortgage Rate Update
Following the Monetary Policy Committee (MPC) meeting on 19 March, the Bank of England announced that the rate would hold at 3.75%.
The MPC voted unanimously in favour of holding the Bank Rate, heavily influenced by the war in the Middle East and its subsequent disruption to the distribution and supply of energy, which will undoubtedly have an impact on fuel and utility costs for both households and businesses. As a result, inflation is expected to be higher than originally predicted for the foreseeable future. As the MPC monitors the situation, decisions will continue to be guided by the latest information to ensure inflation remains low and stable.
It’s crucial to stay informed by monitoring the British economy and global developments closely, as these factors majorly influence the Monetary Policy Committee’s (MPC) decision-making. Also taken into consideration are the speed at which prices are rising, the pace of economic growth, and employment statistics.
The next decision will be announced on Thursday, 30 April 2026.
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.
Use our new and updated Mortgage Tool to search for a deal that suits your circumstances.
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 – February 2026
