The average asking price for newly listed homes in the UK rose by 0.3% (£1,165) this month to £371,422, according to the latest data from Rightmove.
Although October usually brings a stronger seasonal uplift following the summer lull, this year’s increase is well below the ten-year average for the month of +1.1%. A record volume of available properties on the market is continuing to limit upward pricing pressure, analysts say.
Activity in September also slowed compared to the same time last year, when a Bank Rate cut in August 2024 and early moves to beat the April 2025 stamp duty rise boosted demand.
Uncertainty ahead of the upcoming Budget is adding to buyer caution, contributing to a more muted autumn market than usual.
Still, year-to-date figures suggest the housing market has shown resilience in 2025, with signs of stable—if cautious—activity across many areas.
Colleen Babcock, property commentator at Rightmove, said: “Despite the overall resilience of the 2025 housing market, we’ve not got enough pent-up momentum or recent positive sentiment to spur the usual autumn bounce in property prices. We’re experiencing a decade-high level of property choice for buyers, which means that sellers who are serious about selling have had to acknowledge their limited pricing power and moderate their price expectations.
“In addition, speculation that the Budget may increase the cost of buying or owning a property at the higher end of the market, has given some movers, particularly in the south of England, a reason to wait and see what’s announced in the Budget.”
Across the full month of September 2025, new buyer demand, and the number of new sellers coming to market are both down by 5% compared to a year ago, while the number of sales being agreed is down by 2%. However, looking at 2025 to date, new buyer demand is up by 2% across the year so far versus the same period in 2024, while the number of sales being agreed and the number of new sellers coming to market are both 5% higher than in the first nine months of last year.
It is a very price-sensitive market, which means that getting the price right at the start of marketing is vital to successfully finding a buyer. Rightmove research shows that homes which receive an enquiry on the first day of marketing are 22% more likely to secure a buyer than homes which take over two weeks to receive their first enquiry.
The subdued 0.3% monthly price rise means that over the last year prices are still down nationally by 0.1%. Annual falls in London and the south of England have dragged down the national average into negative territory. All four southern England regions are now seeing lower average asking prices than at this time last year, with London ‘s prices down by 1.4%.
By comparison, all other regions have seen an increase of at least 1.0% compared to this time last year, illustrating the widening regional divide between the subdued south and the more robust north. The higher stamp duty rates that came into effect in England at the start of April continue to impact the more expensive southern regions, where home-movers are more likely to face increased costs.
These regions have also seen a greater increase in the number of available homes for sale compared to last year, meaning that sellers need to be even more competitive with the prices they are asking. By contrast, the more affordable rest of England, plus Wales and Scotland, are less likely to be impacted by higher stamp duty charges, and the rumoured changes to property taxes in the forthcoming Budget.
In addition to Budget speculation, major overhauls to many aspects of the buying and selling process have been in the news in the last few weeks, with announcements by both the Government and the Conservative party. Rightmove strongly supports policies which would improve mobility and the buying and selling process, and make home-moving easier and more affordable.
Babcock added: “It’s encouraging that housing continues to be a political priority with some radical changes being suggested. We’re all for policies which would speed up the home buying and selling process and make it easier for all involved, and we’re looking forward to helping the government with our twenty-five years of housing market data.
“Rightmove has been calling for stamp duty reform for some time now, and we believe that abolishing it completely would remove one of the biggest barriers to movement. We hope the Government considers how they could improve it in November’s Budget. Increasing the thresholds would be a help, but going further would be a huge step forward.”
Read the orginal article: https://propertyindustryeye.com/housing-market-very-price-sensitive-market-as-supply-reaches-decade-high/
