House prices are still rising, even with sales activity subdued

Activity and values are measuring different things

The RICS July 2026 survey reports a market where new buyer enquiries recorded a net balance of -28% and agreed sales held at -30%. These figures describe how many transactions are happening — how many people are actively looking, and how many deals are being agreed. They do not describe what properties are worth.

House prices measure something different: what a buyer and seller agree a specific property is worth at the point of sale. And on that measure, the RICS data shows prices continuing to rise — 2.7% year-on-year to May 2026, with a 0.3% monthly increase in the most recent reading.

The distinction is important for anyone thinking about equity release. What matters for an equity release calculation is your home’s value — not how many other properties sold last month.

What a subdued market means for existing homeowners

A market with fewer transactions affects people who are trying to buy or sell. If you are a seller, it means fewer competing buyers and potentially longer time on market. If you are a buyer, it means less competition from other buyers.

For homeowners who are not planning to move — including many of those considering equity release, who typically want to stay in their home — the level of sales activity is largely irrelevant. You are not competing in the sales market. Your home’s value is what the RICS survey says it is: still rising, despite the quieter conditions.

Near-term sales expectations in the July RICS survey improved for a fourth consecutive month, suggesting the market believes the worst of the slowdown has passed. That is a reasonable backdrop against which to be thinking about a property-based financial decision.

How rising property values affect equity release

The amount that can be released through a lifetime mortgage depends on two things: your age and the value of your property. The property value drives the loan-to-value ratio that determines the maximum release. In practical terms, a home that has risen in value since you last had it assessed gives access to a higher release than the same home at its earlier value.

For homeowners who looked at equity release a year or two ago and decided the figures were not compelling enough, a formal revaluation based on current market values may produce a different result. A 2.7% annual price rise on a property worth £400,000 equates to roughly £10,800 of additional property value — which translates directly into increased equity available to release.

Our how much could I release guide explains how the calculation works and what factors influence the figure you are offered. For a broader introduction to how lifetime mortgages and other later-life products work, what is equity release covers the basics clearly.

Should a quieter sales market affect your decision?

The RICS data confirms that the sales market is softer than a year ago. If your equity release plan includes moving to a smaller property, a slower sales market is relevant context — it may take longer to sell, and vendors are having to price more realistically.

If you plan to stay in your home — which most equity release customers do, particularly those using lifetime mortgages — the sales market conditions are less directly relevant. The valuation your property receives for an equity release application reflects current market values, and those values continue to rise even when transaction volumes are subdued.

The more useful frame is to think about whether your circumstances and needs are the right fit for equity release, rather than trying to time a property market entry or exit. For most homeowners considering a lifetime mortgage, the underlying property value trend remains broadly supportive. The product types available and what they involve are covered in detail in types of equity release.