Asking prices fell across most English regions during August, with the national average dropping 0.3%, according to Home.co.uk's latest Asking Price Index. The average asking price in England and Wales now stands at £361,570.
Sales market shows uneven performance
Scotland and the South West experienced the largest price declines. Across England and Wales, annualised home price growth remains well below inflation, at just 0.8%. Real growth is estimated to be -4.7%.
The volume of unsold properties in England and Wales remains exceptionally high, marking the largest September total since 2013. This excess stock is placing significant downward pressure on prices.
New sales listings entering the market during August 2025 rose 11% compared with August 2023, but were 3% lower than in August 2024. Despite this, demand continues to exceed supply.
Regional performance varies, with the North West leading property market growth at 3.7% year-on-year, followed by Yorkshire at 3.5%. Conversely, London is now the weakest performer, posting an annualised decline of 0.5%.
Although sales market momentum remains strong, it has not been enough to meaningfully reduce the unsold stock. Typical time on market is currently three days longer than in September last year and is expected to increase further.
Rental growth slides into negative territory
National annualised growth in asking rents has dropped further into the negative, now at -2.2%, largely driven by rising supply, which increased 12.5% year-on-year. The overall figure is mainly weighed down by London’s poor performance, but negative contributions also come from Scotland, Wales, and all English regions except the East Midlands and the North East.
Only 11 of the 33 London boroughs recorded positive asking rent growth, with two of those under 1%. In Kensington, rents fell by 8.6%.
