The Great Balancing Act, November 2026 Inflation & Affordability Update
Have you ever wondered if the "safe as houses" rule is actually a bit of a fib? We’re often told that bricks and mortar are the ultimate piggy bank, but what if I told you that the real secret to moving home isn't actually the house itself, but what’s happening at the local supermarket checkout?
I’m Matt Camino, and I’ve been looking at the numbers this November. Here’s a bold thought for you: even though house prices aren't jumping up quickly right now, it might actually feel harder to buy one than it did six months ago. That sounds backwards, doesn't it? Let me explain why.
Right now, we are dealing with something called inflation, which currently stands at 3.6%. If you’re not sure what that is, think of it like a "price tag fairy" who sneaks into shops overnight and adds a few pence to everything. It’s why your weekly shop feels more expensive than it did last year, or why filling up the car takes a bigger bite out of your bank balance.
Did you know that back in June, inflation was down at 3%? It’s been slowly creeping up every month since then. When that number goes up, your money loses its "muscle." A ten-pound note just doesn't buy as many apples or litres of petrol as it used to.
Now, here is the tricky part. While the price of stuff in shops has gone up by 3.6% over the last year, the amount of money people are actually earning in their jobs has only gone up by 3.1%.
I call this the "Running Upwards on a Downward Escalator" problem. Even though you’ve had a pay rise, the cost of living is moving faster in the opposite direction. In fact, people are effectively -0.5% worse off than they were a year ago. Your wages just aren't keeping up with the rising cost of... well, everything.
So, what does this mean if you’re thinking about moving?
When the bank looks at how much they can lend you for a home, they look at your "spare" money. Because the weekly shop and the heating bills are taking up more of your wages, there’s less left over to pay for a mortgage. Even though the average price of a home in the UK hasn't moved much lately—it's at £288,411, only a tiny bit higher than last month—it feels more expensive because our pockets are being squeezed from the other side.
We can see this in the number of people getting their home moves approved. In September, there were over 58,000 approvals, but that dropped to 53,400 this month. People are being a bit more cautious, and who can blame them?
When we look at our own neighbourhood in null, these national trends show up in a very specific way. Because we are a popular area—what we call a "seller's market"—homes here still hold their value incredibly well. In fact, over the last seven years, homes in null have gone up in value by over £108,000!
However, because the cost of living is biting, buyers in null are having to be more careful about what they offer. If you’re a landlord here, your own costs are going up, which eventually filters down into the rent prices. It’s a big circle where everyone is trying to find their balance.
It might feel a bit daunting hearing that prices are rising faster than wages, but remember: the property market is a marathon, not a sprint. We’ve seen these cycles before, and the fact that house prices are staying steady rather than spiking is actually a good sign for the long term.
Keep a close eye on your monthly budget, and if you’re planning a move, just give yourself a little extra "buffer" for the food shop. Things will level out—they always do.