UK House Prices Reach Record High in April 2025

2025-04-28

Industry News

The UK housing market has hit a new milestone, with the average asking price for homes reaching a record £377,182 in April 2025. This represents a 1.4% monthly increase and a 1.3% rise compared to the same period last year.

Key Highlights from the April 2025 House Price Index

• Record-Breaking Asking Prices: The average asking price for properties has climbed to £377,182, marking the first new record in nearly a year. 

• Increased Market Activity: Buyer demand has risen by 5% year-on-year, while the number of new sellers entering the market has grown by 4%. 

• Regional Variations: The Midlands and Northern regions have set new price records, whereas the South East and South West are experiencing slower growth. 

• London's Market Dynamics: London has also reached a new price record; however, its market remains sensitive to global economic factors. Factors Influencing the Market

The recent increase in asking prices is attributed to several factors:

• Stamp Duty Changes: Despite the end of the temporary stamp duty holiday, many buyers are proceeding with their purchases, indicating resilience in the market. 

• Mortgage Rates: Average mortgage rates have slightly decreased, with five-year fixed rates averaging 4.72%, down from 4.84% a year earlier, potentially enhancing buyer affordability.

Expert Insights

Colleen Babcock, a property expert, notes:

"We've seen our first price record in nearly a year, despite the number of homes for sale being at a decade-high. The increased choice seems to be bringing more home-movers into the market, with both buyer demand and seller numbers up." 

She advises sellers to price their homes accurately from the outset, as properties priced correctly are more likely to attract buyers quickly.

Looking Ahead

The UK housing market continues to demonstrate resilience, with increased activity from both buyers and sellers. However, regional disparities and global economic uncertainties may influence future trends. Sellers are encouraged to work closely with local estate agents to navigate the market effectively.