Northern Ireland’s housing market closed out 2025 with steady growth, as the average house price rose to £221,233 in the final quarter of the year. The latest figures from Ulster University’s House Price Index, produced in partnership with the Northern Ireland Housing Executive and Progressive Building Society, show a 0.4% increase on Q3 2025 and an annual rise of 4.8% compared to Q4 2024.
This performance reflects a market characterised by stability rather than acceleration, underpinned by strong buyer confidence and a more predictable interest rate environment. The Bank of England’s decision to hold rates at 4% through most of the quarter, followed by a modest cut to 3.75% in December, combined with competitive mortgage products, has supported affordability and sustained market activity.
Detached and apartment sectors continue to lead
Detached homes and apartments recorded the strongest quarterly price increases at 0.7%, while terraced/townhouses rose by 0.6%. Semi-detached properties softened slightly, falling by 0.2%, despite showing the highest annual growth at 4.2%. The market remains concentrated in mid-price brackets, with 83% of transactions below £300,000, and only 17% above this threshold, indicating limited movement toward higher-value segments.
Market confidence holds firm
Agent feedback suggests confidence remains robust, with over 60% expecting prices to hold steady or rise modestly into early 2026. Enquiry levels and bidding activity were broadly consistent with previous quarters, though affordability pressures and supply constraints continue to temper growth. While new listings are emerging, demand continues to absorb available stock, reinforcing price stability.
Regional picture
Quarterly price changes varied across Local Government Districts. Mid Ulster (+4.8%), Antrim & Newtownabbey (+3.5%), and Belfast (+2.5%) recorded the strongest growth, while Causeway Coast & Glens (-6.0%) and Mid & East Antrim (-2.2%) saw modest declines. Annual trends remain positive across all districts, with Fermanagh & Omagh (+11.7%) and Armagh City, Banbridge & Craigavon (+10.7%) leading the way. Annually, all districts showed price growth over the year as a whole, reinforcing the longer-term stability of the market.
Looking ahead
With interest rates easing and lenders continuing to compete, analysts expect the market to maintain a path of modest, sustainable growth into the first half of 2026. However, structural challenges around housing supply and affordability for first-time buyers remain key issues.
Introducing the findings, Dr Michael McCord, reader in valuation, investment and finance at Ulster University, and lead researcher, stated:
“Northern Ireland house prices rose modestly at the end of 2025, with the average price reaching £221,233 in the final quarter of the year. The report findings show prices to have increased by 0.4% over the quarter and by 4.8% compared with the same period last year, reflecting a stable and healthy housing market underpinned by strong demand and a more settled interest rate environment and realistic pricing expectations among buyers and sellers.
“While market activity typically softens toward the end of the year, transaction levels and bidding activity remained broadly in line with earlier quarters. Overall, the market is performing steadily rather than overheating, with affordability and housing supply continuing to pose challenges. Looking ahead, the analysis suggests that market conditions in early 2026 are likely to remain broadly similar, with modest, sustainable price growth. Continued competition amongst lenders and greater mortgage certainty are expected to support activity, whilst supply constraints are likely to remain a key influence on prices”.
Ursula McAnulty, Head of Research at the Housing Executive, which commissions the analysis, said:
“Looking back over 2025, it can be characterised as a year of relative house price stability – with the final quarter showing a weighted annual increase of 4.8% and a 0.4% quarterly increase. This reflects a market that is functioning well, where demand has supported values rather than feeding into unchecked price growth. Looking forward to the first half of 2026, we can expect the market to be characterised by steady, sustainable growth. Although new listings are coming forward, overall supply remains constrained, acting as a stabilising influence on prices rather than a catalyst for house price growth.”
Michael Boyd, Chief Executive of Progressive Building Society, said:
“Northern Ireland’s housing market has ended 2025 on a steady footing, with prices largely holding firm through the fourth quarter and continued resilience across buyer demand. While activity typically softens seasonally at this time of year, the latest report shows the market remaining well-balanced. A more stable interest rate environment, alongside ongoing competition among lenders and a modest base rate reduction in December, has helped to maintain confidence and support transactional activity.
“Affordability and supply constraints remain key challenges, and performance varies locally depending on the mix of stock coming to market. However, with annual price growth still positive and conditions broadly supportive, the market enters 2026 in a position of cautious strength and steady, sustainable momentum.”
Read the full report: Northern Ireland House Price Index Q4 2025