Housing markets across Scotland and northern England are expected to deliver the strongest house price growth in 2026, according to new analysis from Zoopla, as more expensive markets in southern England continue to adjust to higher mortgage rates and property taxes.

Zoopla said it expects UK house prices to rise by 1.5% overall in 2026, but with wide variation between local markets, reflecting differences in affordability, demand and supply.

Scottish markets dominate the top of the league table, with nine of the top 10 locations located north of the border. The Motherwell postal area ranked first, followed by Glasgow, Paisley, Falkirk and Kirkcaldy. Wigan, in north west England, was the only non-Scottish market to feature in the top 10.

Zoopla said these markets tend to have limited unsold stock, faster selling times and fewer asking price cuts, supporting stronger price growth. Falkirk and Kirkcaldy recorded annual house price growth of 4.2%, compared with a Scottish average of 2.8%.

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In England, Wigan ranked highest for growth prospects, followed by Liverpool and Stoke-on-Trent. Northern and Midlands markets dominate the top end of the English rankings, with Zoopla citing relatively low house prices, access to employment centres and a shortage of homes for sale as key drivers.

By contrast, southern England and London occupy the bottom of the rankings. Zoopla said house prices are already recording small, single-digit falls across much of the south due to higher supply, affordability pressures and the impact of higher stamp duty since April 2025.

Although activity is expected to improve in 2026, the website forecasts price growth of between 0% and 1% across many southern markets.

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Several London postal areas, including West Central, West and East Central London, ranked at the bottom of the table, reflecting average prices above £700,000 and significantly longer selling times than the UK average.

“Whether you’re buying or selling, local housing market conditions matter more than ever when making housing decisions in 2026,” said Richard Donnell, executive director at Zoopla. “While prospects are strongest in Scotland and northern England, opportunities exist across the UK where demand and affordability remain well aligned.”

Zoopla added that London’s outlook has improved compared with recent years after a decade of below-average growth, creating opportunities for “canny buyers seeking value for money”.

In Wales, Cardiff and Newport were identified as having the strongest prospects for 2026. Northern Ireland was described as the hottest market for house price inflation over the past year, with prices up 6.5%, although it ranked 25th overall for growth prospects as prices rebound from a low base.

The property website assessed housing affordability, selling times, the scale of asking price reductions and the proportion of homes sitting on the market for more than six months.

These indicators were ranked across 120 UK postal areas to identify locations with the best prospects for the year ahead. Zoopla said its equivalent rankings last year proved a reliable guide to house price inflation in 2025.

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