New property news suggests that buyer confidence is growing, and while affordability remains a concern, house prices have proven resilient. With the Bank of England and property portal Zoopla releasing fresh data, there are valuable insights for both buyers and sellers.
Here’s a breakdown of what’s happening in the housing market and what it means for you.
Mortgage approvals show signs of growth
The Bank of England’s latest Money and Credit report, which covered May’s activity, offered one of the most promising developments in recent property news.
Net mortgage approvals – a key indicator of housing market activity – rose by 2,400 to reach 63,000. This was the first monthly increase in five months, widely seen as a sign that falling interest rates and expectations of further cuts later in the year are restoring buyer confidence in the housing market.
First-time buyers are playing a major role in this recovery, leading the uptick in approvals.
Nathan Emerson, CEO of Propertymark, described the figures as “incredibly positive news,” suggesting they reflect both increased buyer affordability and growing lender confidence in the UK’s economic outlook.
Zoopla’s Executive Director Richard Donnell added that the trend is likely to continue, stating:
“The market remains on track for 5% more sales in 2025 with price inflation steady at 2%.”
House prices show modest growth
While the rate of growth is not dramatic, the latest updates on property prices show a continued upward trend. According to Zoopla, UK house prices increased by 1.4% in May.
Affordability remains a central concern for many buyers, despite reductions in the base rate since August last year. Many are proceeding with caution, balancing optimism with financial realism.
More properties coming to market
Sales activity is at its highest level in four years, with the average estate agent now listing 37 homes for sale, up from 32 a year ago. This represents a 15.6% year-on-year increase in available properties.
For buyers, this wider choice is welcome news. For sellers, it’s a reminder that competition is stronger, and pricing your home correctly is essential.
Zoopla also reports that the number of sales agreed is up 6% compared to last year. So while the market is active, sellers who ignore realistic property valuations may struggle to secure a buyer.
Currently, it takes an average of 45 days to sell a home in the UK. However, one in five properties has now been listed for more than six months, showing how crucial correct pricing can be.
Richard Donnell commented:
“The number of buyers and sellers agreeing home sales continues to increase year-on-year, demonstrating a continued desire of more households to move home in 2025. Improving mortgage affordability will support buying power in the second half of the year.”
“However, buyers remain price-sensitive, especially in higher-value markets where the number of homes for sale has grown the most. Serious sellers need to be realistic on where they set their asking price to achieve a sale and move home in 2025.”
The dangers of overpricing
One of the most common causes of delay in the housing market is overvalued property. While it’s tempting to go with an agent offering a high valuation, inflated pricing can lead to your home becoming a stale listing.
Thanks to online tools, buyers and lenders are more informed than ever. They can easily compare prices and spot when a property is overpriced. If your home is clearly above market value, you risk deterring serious interest, causing your property to linger unsold.
When this happens, the only realistic course of action is to reduce the price and realign with current property news and market data.
Pricing your home correctly
If you’re planning to sell, we recommend obtaining at least three valuations. Don’t simply choose the agent quoting the highest number – they may be over-promising to win your instruction.
Instead, consider an agent’s experience in your local area, the quality of their online listings, use of social media, and their professional reputation.
Getting the asking price right from the beginning can reduce time on the market, help you avoid unnecessary stress, and improve your chances of a smooth sale.
If you’d like a free, no-obligation property valuation or further insights based on the latest property news, get in touch with us today.
And if you found this article helpful, feel free to share it with friends or family who are planning to sell their home.
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