Derby mortgage and property quarterly report

Derby

Introduction

This report contains the latest statistics on property prices, the time taken to sell, mortgage approvals and first-time buyer trends in Derby. We are including our own commentary and professional mortgage industry insights alongside the data to help give you a clearer understanding of developments within Derby’s mortgage market.

The report draws upon data from Land Registry, UK Finance, Rightmove and ONS.

While it is designed to be a useful resource, it is intended for informational purposes only. It is not a substitute for personalised advice that can be gained from a qualified, experienced mortgage specialist.

Derby Property and mortgage market summary

ONS figures place Derby’s average house price at around £205,000 for November 2025 (provisional), also broadly flat year on year. Average rents reached around £837 in November 2025, indicating ongoing rental pressure despite stabilising prices.

This aligns with broader UK trends with mortgage affordability improving gradually due to easing rates and wage growth, while rental costs remain elevated relative to incomes.

The average house price rose by 2.7% over the same period, across the East Midlands. And throughout the UK, properties sold for an average of £271,000, up from the average of £265,000 in November 2024.

First-time buyers paid an average of £183,000 for their new home in November 2025 (provisional) and this aligned with the average in November 2024.

Derby property prices

Throughout November 2025, the average price for a detached property in Derby was £313,000 and for a semi-detached property, homebuyers paid an average of £207,000. Terraced properties cost an average of £164,000 while flats and maisonettes stood at £109.

Derby mortgage market trends

Ollie’s Opinion

Derby is a quietly competitive market right now. People aren’t panicking – but when the right property comes up, they’re not hanging around either.

From a mortgage perspective, the biggest edge buyers can give themselves is certainty. Knowing how lenders will view your income and affordability before you offer makes all the difference.

A mortgage in principle (MIP) can give you clarity. It’s the most effective way to position yourself favourably when home-hunting and is particularly useful in a competitive market. It gives you a good indication of your borrowing capacity and therefore guides you on which properties are in your price range. Just as importantly, it shows estate agents and sellers you are serious.

There were around 64,500 UK mortgage approvals in November 2025, the lowest number in five months, though market predictions were surpassed.

Although the precise number of mortgage approvals in Derby is not available, the national data is typically a good indicator of what is happening on a local level.

The girl is drinking coffee

The average house price rose by 2.7% over the same period, across the East Midlands

Oliver Peace

BA(Hons) CeMAP DipFA
Managing Director and non-advising Firm Principal

A bit about Oliver…

After gaining his CeMAP qualification, Oliver began his career in financial services in 2007 as a mortgage adviser specialising in remortgages. In 2010, after gaining invaluable experience helping individuals and families of all walks of life to improve their financial situations, Oliver found the confidence to launch James Leighton Financial Services. His objective was to build a firm offering a full spectrum of financial services and whilst building a new and loyal client base, he gained his Diploma in Financial Advice, which enabled him to advise on pensions and investments. After building a relationship with a new build developer in 2011, with Oliver at the helm, the firm saw exponential growth from a sole trader to the firm that we see today, with a team of around 50 professionals, national coverage and a reputation as one of the foremost new build specialists in the country. Oliver believes that the success of the firm is down to one of the firm’s core values which is to genuinely care by focussing on improving. By treating each customer as if they are a member of the family has helped build real trust and long term repeat business.

Oliver’s interests out of work centre around spending time with his daughter, enjoying holidays in the UK and abroad and, when he has time, furthering his passion for sportscars.

Outlook for next quarter

Derby’s property market is anticipated to remain stable and balanced throughout 2026, with moderate house price increases, improved affordability and heightened interest from buyers – in part due to the city undergoing significant regeneration.

Consisting of 18 wards and containing 115,200 properties, its rich heritage, vibrant community and excellent transport connections are expected to drive the steady growth.

Although detailed forecasts for Derby itself in 2026 are scarce, wider estimates for the East Midlands indicate house price growth in the region of 3–4%, similar to other robust areas outside the South East.

Nationally, UK house prices are predicted to rise annually. Nationwide Building Society predict this to be by around 2–4% in 2026, driven by a decrease in mortgage rates and improved purchasing power compared to previous years.

Rightmove and other analysts suggest national growth of approximately 2%, though regional differences are expected due to differing affordability and local supply and demand factors.

Halifax and other major lenders predict modest increases in property prices of around 1–3% this year. This outlook reflects a cautiously optimistic market, helped by lower interest rates, steady earnings growth and easier access to mortgages.

Contact our experienced mortgage brokers if you’re interested in buying a property in or around the Derby area.

References

https://www.ons.gov.uk/visualisations/housingpriceslocal/E06000015/
https://www.derby.gov.uk/council-and-democracy/statistics-census-information/key-statistics-for-derby/
https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/privaterentandhousepricesuk/december2025
https://www.theguardian.com/business/2025/dec/18/bank-of-england-cuts-interest-rates-to-375