Biggest July dip in average asking price for a home ‘in at least 20 years’
The average UK house asking price drops more than usual
- The average asking price for homes coming to market in Britain fell by over £4,500 (1.2 per cent) in July, marking the largest July price drop in more than two decades, according to Rightmove.
- Rightmove has revised its house price growth forecast for 2025 downwards from 4 per cent to 2 per cent, citing high seller competition as a key factor.
- London saw a 1.5 per cent month-on-month fall in asking prices, with inner London experiencing a 2.1 per cent decrease, partly influenced by April's stamp duty increase.
- Improved buyer affordability, driven by falling mortgage rates (average two-year fixed rate now 4.53 per cent), and anticipated further Bank of England rate cuts are enticing new buyers.
- Separately, Hamptons downgraded its 2025 rental growth forecast to 1.0 per cent, noting that rents on newly let properties rose by only 0.4% year-on-year in June, as demand shifts from the rental to the sales market.