In June 2025, UK house prices fell by 0.3% to an average of £378,240, marking the first decline in a decade according to Rightmove.

This decline follows record highs in April and May and is attributed to increased stamp duty costs and a high level of buyer choice in the market.

Regional variations in price changes are evident, particularly affecting buyers in southern England due to the recent stamp duty changes.

The south-west, south-east, and London experienced the largest month-on-month price decreases and the highest increases in available homes.

Asking prices in these southern regions decreased by 1.6%, 1%, and 0.9% respectively, heavily impacted by the recent stamp duty changes.

Motivated sellers are recognizing the need to adjust their prices amid economic uncertainties and increased competition among sellers.

Colleen Babcock from Rightmove emphasized the importance of realistic pricing, noting that many sellers are adjusting their prices to attract buyers in a high supply market.

Buyer demand has increased by 3% compared to last year, while the number of homes available for sale is up by 11%, leading to a highly competitive market.

Buyers are also anticipating potential rate cuts that could mitigate the impact of higher stamp duty costs.

Aneisha Beveridge of Hamptons observed that lower mortgage rates are making buying more attractive than renting for many.

In the rental market, demand decreased by 17% in May compared to the same month last year, indicating cooling demand as more tenants transition to homeownership.

Beveridge also mentioned potential impacts of the upcoming renters' rights bill, expected to pass this summer, which aims to strengthen tenant protections.