| Buyers gain negotiating power with more homes available and improving mortgage affordability | Sellers must adopt competitive pricing strategies as overpriced homes risk being overlooked | Modest price growth is expected, but steady activity could sustain momentum through autumn |
The seasons may have changed, but the UK housing market continues to be buyer-friendly thanks to a high volume of available properties and a modest improvement in affordability.
A buyer’s market
As the market transitioned into autumn, supply was at a decade-high level according to Rightmove. Sellers have therefore realised that they need to price competitively if they want to successfully attract a buyer. Rightmove’s Property Expert, Colleen Babcock commented, “We’re seeing an interesting dynamic between pricing and activity levels right now. The healthy and improving level of property sales being agreed shows us that there are motivated buyers out there who are willing to finalise a deal for the right property. What’s most important to remember in this market is that the price is key to selling.”
House price update
Figures from Rightmove1 show that, in July, asking prices fell by 1.2%, the biggest July drop in over 20 years, but this is still 0.1% above last year’s level, indicating some market resilience. Rightmove has now revised its predictions for 2025 house price growth, scaling their forecast down from 4% to 2% due to increased competition among sellers.
Zoopla’s August House Price Index2 showed the average UK property price at £270,000, a 1.3% annual rise. Regional variation persists, with northern regions and Scotland showing steady growth while southern England lags behind.
Improving affordability
Lower mortgage costs are helping buyers – in August, the average five-year fixed rate fell below 5% for the first time since May 2023. Meanwhile, the number of transactions remains solid, with agreed sales up 5% and buyer enquiries up by 6% in August.
Autumn outlook
- For buyers – greater choice, more negotiating power and better affordability make this a potentially good time to search and secure value
- For sellers – setting the right price is key; overpricing now risks your property being overlooked
- For the market overall – modest price growth is expected, but steady activity and potential rate cuts could sustain momentum through the autumn months.
1Rightmove, 2025, 2Zoopla, 2025
It is important to take professional advice before making any decision relating to your personal finances. Information within this article is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored advice and is for guidance only. Some rules may vary in different parts of the UK.