Property Market Update: June 2025

Welcome to the June edition of the Property Market Update! We’ve gathered insights from leading indices and industry voices to bring you a comprehensive overview of what’s shaping the UK housing market right now - from price movements and buyer behaviour to mortgage rates and stock levels.

House prices: Stability over surge

According to Halifax, the average UK house price now sits at £296,648, slipping 0.4% in May – a modest correction after April’s small increase. Annual growth slowed to +2.5%, still adding over £7,000 to the value of a typical home compared to last year.

This suggests a market treading water rather than racing ahead - one that’s balancing economic uncertainty, buyer caution, and an expanding pool of stock.

Asking prices: Highs with hesitation

Rightmove shows seller confidence remains resilient, with asking prices hitting a record £379,517 in May - up 0.6% (+£2,335). But this is the smallest seasonal rise for May since 2016, highlighting that competition is intensifying and price sensitivity is key.

“This month’s price increase being the lowest in May for nine years is a sign of a market that favours buyers.” – Colleen Babcock, Rightmove

Supply is booming – But so is buyer caution

Both Rightmove and Zoopla report a surge in new listings, with stock levels up 14% and 13% year-on-year respectively. The average estate agent now holds 35 unsold homes, the highest figure in a decade.

With more choice, buyers are taking their time. Zoopla reports average selling prices are £16,000 (3%) below asking, while Rightmove warns overpricing will cause properties to get overlooked.

Buyer behaviour: April dip, May recovery?

April saw a 4% dip in new buyer demand, attributed in part to the Stamp Duty surcharge. But early signs from May show that interest is rebounding. Nationwide highlights that underlying conditions remain supportive — and lower mortgage rates are helping.

Sales activity: Signs of strength

Despite April’s slowdown, sales volumes are recovering well.

• +6% year-on-year sales agreed in May, the highest in four years (Zoopla)
• +5% rise in sales agreed compared to last year (Rightmove)

That said, Halifax’s data shows a steep 63.5% month-on-month drop in property transactions for April, likely the result of a spike in March before Stamp Duty changes took effect.

Conclusion

The housing market remains on a knife edge - stable, but with strong underlying pressures. A flood of supply is giving buyers more power, while muted but steady price movements show neither side has full control. For sellers, pricing realistically and working with a knowledgeable agent is key. For buyers, the coming months may offer both opportunity and leverage.

As always, we’ll be watching closely and keeping you informed with the latest.