Rightmove HPI report: UK asking prices hit record high

The housing market appears to still be recovering from the stamp duty rush, as new data from Rightmove shows a more subdued spring market.

Spring is usually a busy season for selling a property, but the market already faced a rush of activity during the first quarter of 2025 as buyers looked to complete deals before stamp duty thresholds dropped. This meant house prices rose at the start of the year but demand has since slowed, pushing down asking price growth.

The latest House Price Index from Rightmove shows the average price of property coming to the market rose by 0.6% on a monthly basis at the start of May and by 1.2% annually to £379,517. Despite asking prices hitting a new record high, this is the slowest rate of growth since 2016.

Sellers are adjusting their prices as supply is currently outweighing demand. Rightmove said the number of available homes for sale is at a ten-year high, while new buyer demand slowed in April to 4% below the same month in 2024.

This is the first month this year that buyer demand has fallen below last year’s level. However, demand in the year to date is still 3% ahead of last year. In contrast, the number of new properties coming onto the market for sale is now 14% ahead of this time last year. This suggests we are now in a buyer’s market, with the choice of homes at a decade-high.

Rightmove said appropriate pricing is key, highlighting that the number of sales being agreed in the past month is still 5% higher than at this time last year.

The analysis also shows that there has been a 32% increase in the number of sellers who have swapped estate agent to try and find a buyer.

Colleen Babcock, property expert at Rightmove, said: “It’s another new price record this month, but having seen a May price record for the last five years, it appears to be driven more by seasonal factors, given that new buyer demand has slowed.

“The ten-year high choice of homes for sale means that sellers need to be aware of the level of competition they’re facing for the attention of buyers, and the prices that are being advertised in their location. In the current market, buyers may well have several similar homes to choose from in their area, and a home that appears over-priced compared to the competition may not get a second look.

“This month’s price increase, being the lowest in May for nine year,s is a sign of a market that favours buyers and is more subdued than usual.”