House Price Index: July 2025

Key takeaways

• Buyer demand, agreed sales and the number of houses for sale are all at unexpectedly high levels across the UK

• The boost in activity is supported by relaxations to mortgage affordability testing

• But house prices remain stubbornly low, rising 1.3% over the last year

• We’ve changed our forecast for 2025 house price growth from +2% to +1%

  Average UK house prices: last 3 months

  The average house price in the UK is £268,400 as of June 2025 (published July 2025). This is a rise of 1.3% or £3,350 over the past year.

  Property type	April 2025	May 2025	June 2025	Annual price change to June 2025 (£)	Annual price change to June 2025 (%)
  Average UK house price	£268,400	£268,600	£268,400	£3,350	1.3%

  

Average house prices by property type: last 3 months

UK housing market sees unseasonable summer boost

Activity in the UK housing market is significantly stronger than a year ago, defying the usual seasonal slowdown in summer.

• Buyer demand is up 11%

• Agreed sales are up 8%

• There’s a record number of homes on the market

We see these trends across all regions of the UK, with buyers actively seeking to finalise sales before the school holidays and the August slowdown.

Another catalyst supporting activity is the recent change to the way mortgage lenders assess affordability. Those using a mortgage can borrow up to 20% more than they could 3 months ago, with no change to their income or the mortgage rate they’re offered.

 

Read More / Source  @ Zoopla