NOV EMBER 2025
£788,000
£1,125,976
-8.5%
£627
£41.6bn
15,808
MORTGAGE APPROVALS (SEP)
65,944
3.8%
0.5%
RESIDENTIAL TRANSACTIONS (SEP)
95,980
17.8%
3.7%
GROSS MORTGAGE LENDING (SEP)
£24.9bn
17.1%
28.0%
52,548
-0.4%
3.5%
208,317
-
-4.8%
NEW HOMES BUILT (Q325) NEW HOMES BUILT (ANNUAL)
Source: Dataloft by PriceHubble, Bank of England, HMRC, ONS
U N D E R LY I N G M A R K E T S T R E N G T H
Housing market indicators point to a mixed picture ahead of the Budget. Despite Budget uncertainty, transactions, mortgage approvals, and house price growth highlight steady momentum and underlying market strength, reflecting cautious confidence within the market. CAUTIOUS STANCE The Bank of England opted to hold interest rates at 4% in November, maintaining a cautious stance as inflation continues to run above target. The CPI measure of inflation rose by 3.8% in the year to September, coming in lower than expected but still clearly signalling persistent price pressures. Consensus forecasts point to inflation easing back a little to 3.6% by the end of 2025 and moving closer to the 2% target, reaching 2.4% by late 2026¹. The Bank Rate is expected to follow a measured path, remaining higher for longer, with forecasts suggesting it will settle around 3.5% by the end of 2026¹. After several months of easing, mortgage rates have edged up ever so slightly as lenders adjust pricing amid expectations that interest rates will stay higher for longer. The average two-year fixed rate (75% LTV) rose from 4.1% in August to 4.2% in September, in line with this the five-year equivalent increased from 4.1% to 4.2%².
MIXED PICTURE With the Autumn Budget set for 26 November, uncertainty is prompting some buyers and sellers to hesitate, particularly at the top end of the market, where potential tax changes are a key concern. Reeves is expected to raise taxes, with higher levies on property purchases or home ownership among the possible measures. For prime high-end buyers this has led to a pause until there is greater clarity. Almost two-thirds of agents report a fall in buyer confidence compared with three months ago³, reflecting this growing caution. Meanwhile, buyer demand in September was 5% lower year-on-year, and sales agreed were down 2% 4. A modest adjustment suggesting continued underlying market strength.
Market activity has been underpinned by serious buyers and sellers (often more needs based – upsizing or downsizing, or outside prime market price bands) who continue to proceed. Transactions so far this year are 13% higher than in 2024, supported by the March SDLT rush from first-time buyers and relative to last year’s election dip. In September, there were 95,980 transactions—up 4% year-on-year and the highest level since March 20255. Mortgage approvals also rose 1.5% between August and September to 65,944, the highest level so far in 2025².
PRICES STAY STEADY In October, both Nationwide and Rightmove reported modest price increases, signalling steady market conditions despite more subdued confidence and continued high borrowing costs. Nationwide recorded a slight uptick in annual house price growth to 2.4%, from 2.2% in September, alongside a 0.3% monthly rise. Rightmove reported a 0.3% monthly increase in average asking prices, reaching £371,422, although below the typical October average uptick recorded over last 10 years of 1.1%. A 7% rise in the number of homes for sale compared with last year is keeping price rises in check6, giving buyers more choice than they have seen in years. Looking ahead, affordability is expected to improve gradually as income growth outpaces price rises, while borrowing costs may ease if the Bank Rate is reduced in the coming quarters. In England and Wales, the average price of a prime market property is £1,125,976, softened by -8.5% year-on-year.
¹HM Treasury, Average of Independent Forecasts, October 2025, ² Bank of England, ³PriceHubble, Poll of Subscribers, 4 Rightmove, 5HMRC, 6Zoopla
£550,000 £761,605 +0.3% £361
£423,000 £558,575 +0.6% £299
£538,000 £726,291 +1.6% £377
£580,000 £755,243 -1.7% £380
£527,000 £686,405 -2.1% £332
£475,000 £606,907 -4.6% £331
£726,000 £961,076 -7.1% £469
£509,000 £669,485 -2.4% £347
£800,000 £1,062,508 -4% £523 £911,000 £1,271,097 -7.4% £560
£1,440,000 £2,287,616 -16.5% £1,149
Source: Dataloft by PriceHubble, Land Registry. *Based on properties listed to sell over the past 12 months, recorded by Information Works
0% -1.2% -2.4% -3.6% -4.8% -6% -7.2% -8.4% -9.6% OCT 2024
NOV 2024
DEC 2024
JAN 2025
FEB 2025
MAR 2025
APR 2025
MAY 2025
JUN 2025
JUL 2025
AUG 2025
SEP 2025
Source: Dataloft by PriceHubble, Land Registry.
£1,200 £1,050
£ 1,020
£900 £750
£ 728
£600 £450
£ 563
£ 570
DETACHED
SEMI-DETACHED
£ 627
£300 £150 £0
TERRACED
FLAT/APARTMENT
ALL PROPERTY
Source: Dataloft by PriceHubble, Land Registry.
18% 12% 6% 0% -6% -12% -18% -24% -30%
SEP 2024
OCT 2024
NOV 2024
DEC 2024
JAN 2025
FEB 2025
MAR 2025
APR 2025
MAY 2025
JUN 2025
JUL 2025
AUG 2025
Source: Dataloft by PriceHubble, Land Registry.
£282,254 £788,000 £1,125,976
£234,604 £722,000 £1,066,833
£227,827 £669,000 £999,597
£276,657 £655,000 £886,551
£432,151 £1,000,000 £1,440,640
£293,212 £799,000 £1,129,996
4.8% 4% 3.2% 2.4% 1.6% 0.8% 0% -0.8% -1.6% OCT 2024
NOV 2024
DEC 2024
JAN 2025
FEB 2025
MAR 2025
APR 2025
MAY 2025
JUN 2025
JUL 2025
AUG 2025
SEP 2025
Source: Dataloft by PriceHubble, Land Registry.
£400 £350 £300
£ 359
£ 336
£ 303
£ 294
£250
£ 259
£200 £150 £100 £50 £0
DETACHED
SEMI-DETACHED
TERRACED
FLAT/APARTMENT
ALL PROPERTY
Source: Dataloft by PriceHubble, Land Registry.
78
77
75
72
72 69
68
66 63 60
65 61
64
62
62
63
64
60
59
59
APR 2025
MAY 2025
57 54 SEP 2024
OCT 2024
NOV 2024
DEC 2024
JAN 2025
FEB 2025
MAR 2025
JUN 2025
JUL 2025
AUG 25
SEP 25
Source: Dataloft by PriceHubble, Rightmove.
48 42 36 30 24 18 12 6 0
SEP 2024
OCT 2024
NOV 2024
DEC 2024
JAN 2025
2025-11-03
FEB 2025
MAR 2025
APR 2025
MAY 2025
JUN 2025
JUL 25
AUG 25
SEP 25