As the housing market has moved into autumn, all eyes are firmly on buyers and what their (literal) next move may be in what is traditionally a busy selling season after the summer slowdown. Yet summer 2025 bucked the usual trend.
Lower prices and increased buyer choice led to the busiest July for agreed sales since 2020, according to Rightmove. Its most recent House Price Index, published in September, shows that activity remains strong with agreed sales up 4% compared to last year.
Zoopla offers similar figures in its end of August update, with a 5% rise in agreed sales and figures that show buyer demand is 4% higher than a year ago.
Prices edged up in the month, with the average asking price rising by 0.4% to £370,257, according to Rightmove’s figures. In London, price growth is weaker, making competitive pricing even more crucial. The number of homes for sale is up 18% in the capital, according to Zoopla and it’s this increased choice that is helping to keep house price inflation under control. This is encouraging for buyers who have already been impacted by stamp duty changes earlier in the year. The combination of improved buyer affordability, sensible pricing and a wide range of available properties is encouraging many to buy.
Affordability should also continue a gradual improvement, especially if income growth continues to outpace house price growth as expected and interest rates are cut further, according to Nationwide’s latest index.
Property tax rumours
But, as always with this government, the market is not without its challenges. The housing sector has been plagued by rumours of property tax changes since mid-August, and this is making the sector jittery. With the budget not due until the end of November, buyers are likely to face some uncertainty - particularly for those investing in higher-value homes where the tax changes could have the greatest impact. In London, almost six in ten (59%) sales are above £500,000 compared to 22% outside London, according to Rightmove.
But so far so good. Rightmove says that its real-time data currently shows no immediate reaction from movers to the rumours of a property tax. However, there is no guarantee that sentiment will last, especially if the property tax rumours become reality. It means an even greater urgency for sellers to be prepared for the impact, supported by expert advice. August’s RICS UK Residential survey, for example, paints a gloomier picture with the organisation warning that “the housing market is clearly feeling the effects of ongoing uncertainty”.
An Autumn bounce in activity
An Autumn bounce in activity is likely thanks to the pent-up demand that is still being released and the activity we saw over the summer, with more enquiries and deals expected if the pricing is right. With prices not quite following the same path, sensible pricing in line with local competition and expert advice from your agent will remain crucial in your efforts to sell quickly, especially if buyers’ nerves do begin to fray. Zoopla’s research suggests that reduced-price properties take 2.4 times longer to sell than those correctly priced from the start, for example.
If you are looking to sell and want guidance on how you can price most effectively and sell in this market, then we can help. Get in touch with our team for expert advice on how to make the most of the opportunities ahead!
welcome@living-london.net
0207 231 0002
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