The common asking worth for properties within the UK edged up this month, although it stays beneath the ten-year October common improve of 1.1%, as excessive inventory ranges proceed to curb vendor pricing energy, The most recent information from Rightmove reveals.
Market exercise softened in September year-on-year, following a robust September 2024 that was boosted by the primary Financial institution Fee reduce in 4 years and early strikes forward of the April 2025 stamp obligation rise. Regardless of this, the market has proven resilience by way of 2025, with year-to-date purchaser demand up 2% and new vendor listings up 5% in comparison with the identical interval final yr.
On an annual foundation, asking costs stay down barely at -0.1%, pushed by declines in London and the South of England. Nonetheless, Scotland, Wales, and different English areas have all posted annual worth development of not less than 1%.
Housing market ‘very price-sensitive market’ as provide reaches decade excessive – Property Trade Eye
Trade response:
Tom Invoice, head of UK residential analysis at Knight Frank: “Transaction numbers over the past six months have been supported by secure mortgage charges and softer costs as sellers come to phrases with the truth that excessive ranges of provide imply it’s a purchaser’s market. Nonetheless, demand is wavering for the second successive yr because the autumn market will get underway yr as hypothesis over the Finances turns into a chronic and irritating recreation of ‘guess the tax rise’.”
James Nightingall, founding father of HomeFinder AI: “The vast majority of home hunters are stalling their search amid the Autumn Finances. That is leading to fewer transactions and a few sellers lowering their asking worth to draw presents. First-time patrons, then again, have maybe been the one demographic that has proven the same stage of motivation seen throughout October final yr with many aiming to maneuver into their new property by the tip of the yr.”
Jeremy Leaf, north London property agent: “Though a great indicator of market traits, Rightmove’s asking costs are simply the proprietor’s start line to gauge whether or not real patrons might be attracted.
“These figures should not resistant to latest turbulence out there as patrons and sellers fear as to what the Finances would possibly herald the way in which of upper taxes. Sellers are nonetheless being bold on worth, confirming what we’re seeing on the bottom, leaving it as much as patrons and brokers to persuade them that actuality doesn’t fairly meet their aspirations.
“Demand remains to be there however properties are taking longer to draw presents as patrons pause, which is having a knock-on impact on the variety of our new listings too.
“Trying ahead, we don’t see a lot change till after the tip of November but when the Finances measures should not as damaging as some anticipate, we might sit up for an affordable bounce again for the market in early 2026.”
Nathan Emerson, CEO at Propertymark:
“Though there was a softening of exercise year-on-year, it’s encouraging to see that the UK’s housing market continues to adapt to financial pressures. Whereas year-to-date figures present optimistic indicators, together with an increase in purchaser demand and gross sales agreed, the month-on-month slowdown displays a market formed by warning, worth sensitivity, and political uncertainty forward of the Autumn Finances.
“Affordability challenges, excessive property selection, and the impression of latest Stamp Obligation modifications are clearly weighing on the boldness of patrons and sellers alike, significantly within the South of England. Our member brokers are reporting comparable traits on the bottom, with dedicated patrons and sellers having to behave decisively and worth competitively to realize outcomes.
“Propertymark helps reforms that can streamline the house shopping for and promoting course of and enhance market mobility. Nonetheless, extra must be executed to ease transactional prices and increase provide, significantly in areas hardest hit by present property tax coverage. We hope the UK Authorities makes use of the upcoming Finances to ship significant help for the sector, together with a full evaluate of Stamp Obligation, to assist unlock motion throughout all components of the market.”
Marc von Grundherr, director of Benham and Reeves: “Whilst there may be definitely loads of preliminary curiosity in London, we’re not seeing as many patrons committing, significantly with regards to worldwide enquiries.
“Mortgage charges have been largely trending downwards for the reason that base fee started to stabilise and fall, however stubbornly excessive inflation continues to delay the tempo of cuts that many had hoped for by now. This has left some patrons in a holding sample, ready for clearer indicators of sustained affordability earlier than committing.
“A substantial amount of the present hesitation may also be attributed to the upcoming Autumn Finances, with many patrons preferring to attend for readability on taxation and wider financial coverage earlier than performing. As soon as this uncertainty has handed, we anticipate the market to assemble tempo.
“London could also be trailing the remainder of the nation for now, however historical past reveals it tends to outperform as soon as momentum builds, and we anticipate that sample will return as confidence strengthens.”
Housing market ‘very price-sensitive market’ as provide reaches decade excessive
