# UK House Prices Drop 1.5% in 2027 Forecast

> Savills predicts UK house prices fall 1.5% in 2027 due to high mortgage rates.
- Title: UK House Prices Drop 1.5% in 2027 Forecast · MoneyWeek
- Summary: Savills predicts UK house prices fall 1.5% in 2027 due to high mortgage rates. Savills forecasts UK house prices to drop 1.5% in 2027 as higher mortgage…
- Keywords: uk house prices, savills, mortgage rates, 2027 forecast, house price drop, real estate, mortgage affordability, MoneyWeek
- Source: MoneyWeek — https://moneyweek.com/investments/house-prices/savills-house-price-forecasts-uk
- Published: 2026-11-05T15:34:04+00:00
- Read time: 1 min
- Topics: uk house prices, savills, mortgage rates, 2027 forecast, house price drop, real estate, mortgage affordability
## Savills Forecast
Savills predicts uk house prices fall 1.5 percent in 2027 due to higher mortgage rates squeezing buyer affordability.
## 2027 Price Drop
The average uk property value will fall by five thousand five hundred pounds in 2027.
## Previous Forecast
Savills previously forecasted a 2.5 percent increase in uk house prices for 2026.
## Middle East Conflict Impact
Protracted middle east conflict has delayed mortgage rate relief, weighing on buyer sentiment.
## Regional Variations
Yorkshire and the humber will see 0.5 percent price growth while north east and north west regions rise 1 percent.
## London Price Drop
London house prices could fall by 3.5 percent in 2027 according to savills forecast.
## Buyer Advice
Sellers with premium second properties in london should sell now or wait for price recovery.
## Long-Term Outlook
House prices are expected to rise 3.5 percent in 2028 and 5 percent in 2029 and 2030.
## Key takeaway

Savills forecasts UK house prices to drop 1.5% in 2027 as higher mortgage rates squeeze buyer affordability.