British banking brand under Lloyds Banking Group
As of early April 2026, US 30-year fixed mortgage rates have climbed to 6.37%, up from under 6% six weeks ago, driven by the Iran war's impact on energy prices and inflation fears. This rise is slowing US home sales and mortgage applications during the spring buying season. In the UK, house prices fell 0.5% in March, slipping below £300,000, with mortgage rates rising above 5%, signaling a cooling housing market.
May price data show a UK-wide dip in annual growth with May price at £298,806, while buyers face higher mortgage costs and cautious demand. Analysts say activity remains steady but uneven as inflation and rates influence decisions. Buyers and sellers adjust, with first-time purchases affected by deposits and cost of debt.