Prices reach new record despite more subdued late Spring market

• New seller asking prices rise by 0.6% (+£2,335) this month to a new record of £379,517. However, this month’s seasonal price increase is the lowest at this time of year since 2016, as the decade-high number of homes for sale limits price growth
• The traditionally strong late Spring market is more subdued following a busy first quarter of the year. Along with the smaller-than-usual price increase, there has been a dip in new buyer demand following April’s stamp duty increase:
• After a busier than usual March, new buyer demand slowed in April to 4% below the same month in 2024. However, demand in the year to date is still 3% ahead of last year, and there are early signs of a bounce-back in May
• Despite April’s lull in new buyer demand the number of sales being agreed in the last month is 5% higher than at this time last year, indicating that spoiled-for-choice buyers are still being tempted by the right property at the right price
• The number of new properties coming onto the market for sale is now 14% ahead of this time last year
• As new seller activity outpaces new buyer demand, some caution on price expectations is needed to achieve a sale
• The latest Bank Rate cut could provide a boost to buyer affordability and activity later in the year. Rightmove’s weekly mortgage tracker shows that the lowest available two-year fixed mortgage rate is now 3.72%, down from 4.75% last year

Average Asking price Trends

Reginal map

Affordability trends

Overview

It’s another record-breaking month for property asking prices — but before popping the champagne, it’s important to look at what’s really driving this trend.

At I Am The Agent, we’ve seen asking prices climb again this May, a pattern that’s held steady for the past five years. However, it seems this increase is more seasonal than significant, especially given that new buyer demand has slowed.

In fact, we’re currently seeing the highest number of homes for sale in over a decade, which is fantastic for buyers — but it does mean stiff competition for sellers.

What this means for sellers

With more choice available to buyers, sellers need to be sharper than ever. Many buyers now have multiple similar properties to compare, and homes that appear overpriced risk being quickly dismissed — even if they’re beautifully presented.

This month’s price rise is actually the smallest for May in nine years, suggesting that while prices are up, the overall market mood is more cautious and buyer-friendly.

Mortgage Rates & Buyer Sentiment – Reasons for Optimism?

While April saw a dip in buyer activity, we’re encouraged to see early signs of a recovery in May.
Mortgage interest rates are now lower than they were this time last year, and with the recent Bank of England rate cut, we’re hopeful that lenders may follow suit with further rate drops.

Even small improvements in mortgage rates can boost buyer sentiment and affordability, making it easier for more people to get on or move up the property ladder.

Our Advice to Sellers

If you’re thinking of coming to market, now’s the time to really stand out. With so much competition, working closely with your agent is key. Make sure to:

• Research your local market thoroughly

• Set a realistic, tempting price from the outset

• Ensure your listing is well-presented and up to date

At I Am The Agent, we equip you with all the tools you need to attract serious buyers, including online marketing across major portals, live lead tracking, and expert support from our team.

Final Thoughts

While the market is showing positive signals, especially around mortgage rates, it’s still a competitive landscape for sellers. Price strategically, know your market, and don’t underestimate the value of presenting your property in the best light possible.

Got questions or need help listing your property?
Contact us today — we’re here to help!