As we move into summer, I Am The Agent are seeing a housing market that is proving more resilient than many expected, given the backdrop of global uncertainty, elevated living costs, and higher mortgage rates. The average asking price of newly listed homes rose by 1.2% (£4,333) to £378,304, slightly above the typical ten‑year May increase of 1.0%. Despite this monthly uplift, prices remain 0.3% lower than in May 2025, showing that annual growth is still subdued. Prices up 1.2% since April, slightly higher than the 10-year average of 1.0% for May.

A defining feature of the current market is the widening north–south divide in annual price performance. More affordable northern regions continue to see growth, with the North East rising 2.7% and the North West up 2.6% year‑on‑year. In contrast, higher‑priced southern regions are experiencing declines, including London (-2.4%) and the South East (-1.6%). This divergence is driven by affordability pressures, which are more pronounced in expensive areas where buyers are more sensitive to mortgage costs and borrowing constraints.

Buyer choice is at its highest level for this time of year since 2015, with 32% of existing listings undergoing price reductions. This increased supply means sellers must adopt more realistic pricing strategies. Over‑ambitious pricing is leading to significantly longer selling times: homes requiring a reduction spend 127 days on the market, compared with 36 days for those priced correctly from the outset. A reduced property takes on average 91 more days to sell than a home that hasn’t needed to be reduced.

Despite these pressures, market activity remains surprisingly steady. Sales agreed are 4% below last year, when mortgage rates were lower, but still 2% higher than the same period in 2024. This suggests that many buyers and sellers are continuing with their plans where affordability allows. The first‑time buyer sector, which relies heavily on borrowing, is also holding up well, with sales agreed down only 4% year‑on‑year. Average prices for typical first‑time buyer homes have fallen 0.7% annually, helping to ease affordability constraints and support continued activity.

Mortgage affordability has improved slightly this month. The average two‑year fixed rate has fallen to 5.18%, down from 5.42% last month, reducing typical monthly payments by around £50. Combined with last year’s review of lending rules and continued wage growth, this has provided a modest boost to buyer confidence. Experts emphasise that even small rate reductions can meaningfully impact budgets and help keep transactions moving.

Across market sectors, price movements vary. First‑time buyer properties saw a modest 0.3% monthly rise, second‑steppers saw 0.9%, and top‑of‑the‑ladder homes saw a stronger 2.3% monthly increase. Annual changes remain mixed, with only second‑steppers showing positive year‑on‑year growth.

Regional data shows significant variation in both pricing and time to secure a buyer. Scotland has one of the fastest selling times at 31 days, while London and Wales average 71 days. Prices range widely, from £200,789 in the North East to £685,347 in London. Most regions recorded monthly increases, though Yorkshire and the Humber saw a 1.3% decline.

Expert commentary reinforces the importance of realistic pricing and proactive sales strategies. I Am The Agent report rising viewing numbers and steady buyer interest, but also note that buyers are becoming more selective and have greater negotiating power due to increased stock levels. Sellers who price competitively from the outset are achieving faster sales and, in some cases, securing offers at or above asking price.

At I Am The Agent, we help homeowners take advantage of the full power of the online property market by listing properties on the UK’s leading portals while keeping costs transparent and straightforward. Whether you are planning to sell soon or simply exploring your options, our platform gives you the tools, exposure and flexibility to market your property with confidence.

If you are thinking about selling your home, now could be an excellent time to get started.

Visit I Am The Agent today to learn more about our packages and see how we can help you reach serious buyers across the UK.