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The average price of a UK property coming to market has climbed to £379,517 in May, but the seasonal uplift is more subdued than usual, suggesting a market adjusting to increased supply and cautious buyer sentiment.
The average asking price for properties going on sale this month has increased by 0.6% or £2,335, according to Rightmove (RMV.L). While this represents a new high, it is the weakest May increase since 2016.
“It’s another new price record this month, but having seen a May price record for the last five years, it appears to be driven more by seasonal factors given that new buyer demand has slowed,” said Colleen Babcock, a property expert at Rightmove. “The ten-year high choice of homes for sale means that sellers need to be aware of the level of competition they’re facing for the attention of buyers.”
Rightmove’s figures show that while demand in March surged as buyers sought to complete transactions ahead of April’s stamp duty changes in England, activity slowed the following month. Buyer interest fell 4% in April compared to the same period in 2024 — the first year-on-year decline recorded in 2025.
Despite this, demand for the year to date remains 3% higher than in 2024, and the portal’s real-time data indicates an early rebound in May. Agreed sales in April were 5% ahead of the previous year, suggesting that committed buyers are still moving decisively.
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“In the current market, buyers may well have several similar homes to choose from in their area, and a home which appears overpriced compared to the competition may not get a second look,” said Babcock. “This month’s price increase being the lowest in May for nine years is a sign of a market that favours buyers and is more subdued than usual.”
Affordability may be improving. Average earnings have risen more than 5% in the past year, outpacing house price growth of just 1.2%. Simultaneously, mortgage rates are easing. Rightmove’s weekly mortgage tracker reports the lowest available two-year fixed rate now stands at 3.72%, down from 4.75% a year ago.
A second Bank of England interest rate cut announced earlier this month, should bring lending rates down further.
“Mortgage interest rates are lower than they were at this time last year, and the recent Bank Rate cut also gives us some optimism for further mortgage rate drops that will enable more to buy,” said Babcock. “While we’re not expecting drastic reductions, any lowering of rates will be a boost to buyer sentiment and affordability.”