UK House Prices Predictions 2025

Experts have made predictions about UK house prices for 2025, based on data analysis and trends rather than traditional forecasting methods.

David Astburys along other Global Estate Agents foresee a 2.5%-4% increase in house prices.

Mortgage Lenders: MPowered Mortgages suggests a significant rise but gives no specific figure. The Nationwide predicts a 2% to 4% increase within the next 12 months.

Economic Analysts: The Office for Budget Responsibility predicts a 1.1% rise, while Capital Economics is more optimistic, expecting a 5% increase.

On average, house prices in the UK are expected to rise by 3.19% in 2025, which translates to an increase of just over £8,000 based on Nationwide's average house price of £268,144.

Key Takeaways for Buyers and Sellers

Improved Affordability: Interest rate cuts and more stable inflation will provide greater opportunities for buyers, particularly first-timers and those aiming to climb the property ladder.

Healthy Price Growth: A 4% average increase in house prices is forecasted for 2025, though regional variations are expected. For instance, the southwest may see more modest growth at 2.5%.

Increased Demand: The market will see heightened activity due to demand, with more home-movers and first-time buyers stepping in, while investor activity reduces.

Strategic Timing: Moving in 2025 could be highly advantageous, considering the anticipated growth trajectory in the following years. An improved choice of homes for sale and longer average time to sell means homebuyers will continue to have the upper hand when it comes to agreeing a sale. 

Now more than ever, it is important to work with a reliable and trustworthy estate agent, that can give you realistic property valuation, and that’s what we pride ourselves on at David Astburys.

If you are a Landlord, Buyer or Seller and you need expert property advice contact our team or get an instant property valuation.