Over a third of UK homes sit in areas where prices have slipped, Zoopla finds

Zoopla’s latest house-price index, covering up to September 2026, shows that 35% of UK homes are now located in postcode areas where values have fallen over the past year, up from 12% a year ago. Rising mortgage costs have prompted buyers to be more selective, and a 7% rise in listings has expanded their ability to negotiate, putting pressure on sellers to set realistic prices, especially in the south. Despite regional declines, the overall average house price remains 0.8% above a year earlier at £273,100.

London and the South East have the greatest concentration of falling-price postcodes, whereas Liverpool, Carlisle and Kilmarnock see annual gains exceeding 4%. Zoopla’s executive director Richard Donnell highlighted the need for accurate pricing and noted that a lower mortgage-rate environment would boost activity. He also welcomed the government’s “Your First Home” scheme and upcoming budget measures aimed at easing mortgage costs and stamp-duty burdens.