Market outlook for Luton
Key indicators for buyers
The Luton market is moderately favourable for buyers. Affordability has improved from a peak of 9.2x in 2023 to 8.5x today. Rising rents (£1,207/mo, +3.5%) mean the cost of waiting is real.
Price trends
Average sale prices · HM Land Registry / UK HPI
Affordability ratio
House price ÷ median earnings · ONS data
A home in Luton costs 8.5x the local median salary — stretched, improving from a peak of 9.2x in 2023.
Rental trends
Average monthly rent · ONS Private Rental Index
Average monthly rent in Luton is £1,207, up 3.5% year-on-year. Rents have risen consistently over the past five years.
Monthly mortgage
2yr fixed · 75% LTV · 25yr term · BoE avg. rate
Based on the average Luton price of £280,889 with a 25% deposit (£70k), a 2-year fixed mortgage at 3.97% costs around £1,108 per month.
Rent vs buy snapshot
Monthly cost comparison based on current data
Monthly mortgage payments (£1,108) are £99 less than renting (£1,207). However, buying requires an upfront deposit of £70k — it would take around 8 years to recoup that cost compared to renting and investing the difference.
Recent sales
Latest transactions · HM Land Registry Price Paid Data
| Address | Type | Price | Date |
|---|---|---|---|
58, CONNAUGHT ROAD LU4 8ER | Terraced | £288,000 | 30 Jan 2026 |
8, BURFORD CLOSE LU3 4DS | Detached | £530,000 | 28 Jan 2026 |
77, GOOSEBERRY HILL LU3 2JZ | Semi-detached | £325,000 | 26 Jan 2026 |
59, HAWKFIELDS LU2 7NW | Detached | £405,000 | 22 Jan 2026 |
11, EVERGREEN WAY LU3 4AL | Semi-detached | £400,000 | 22 Jan 2026 |
138, BIRDSFOOT LANE LU3 2DJ | Terraced | £270,000 | 22 Jan 2026 |
18, BLOOMFIELD AVENUE LU2 0PS | Semi-detached | £340,000 |
Explore postcodes in Luton
4postcode districts · Click for detailed prices
Data sources (all free & public): HM Land Registry Price Paid Data & UK House Price Index · ONS Housing Affordability Ratios · ONS Private Rental Index · Bank of England Quoted Household Interest Rates · HMRC Monthly Property Transactions
Contains HM Land Registry data © Crown copyright and database right 2021. This data is licensed under the Open Government Licence v3.0.