As the year draws to a close, many are looking ahead to what 2025 might bring for the property market. Thanks to Rightmove’s latest research and predictions, we have valuable insights into the trends and factors likely to shape the market in the coming months.

Key Findings from Rightmove’s Research

1. Buyer Demand is on the Rise
Following the Bank of England’s second Base Rate cut of 2024, which lowered interest rates to 4.75%, buyer demand has surged. Rightmove reports a 23% increase in enquiries about homes for sale compared to this time last year. Additionally, the number of agreed sales is up by 26%, reflecting renewed confidence in the market.

2. House Prices Are Poised for Growth
While the average asking price in November dropped to £366,592 (-1.4% from October), this decrease is seen as part of a seasonal adjustment rather than a long-term trend. Rightmove predicts house prices could climb by as much as 4% in 2025, supported by growing demand and improving affordability.

3. Affordability May Improve
Mortgage rates are expected to gradually decrease throughout 2025, creating new opportunities for buyers who had previously held off due to higher borrowing costs. Rightmove notes that these rate changes could unlock affordability for a broader segment of the market, particularly first-time buyers.

What This Means for You

For Buyers:
With mortgage rates predicted to edge lower and demand on the rise, early 2025 could be an ideal time to explore your next move before competition increases.

For Sellers:
The current market momentum and anticipated price growth make 2025 a promising year to list your property. Pricing competitively, as many sellers are now doing, could help secure a sale before market activity picks up further.

The Bigger Picture

Tim Bannister, a property expert at Rightmove, highlights the positive outlook:
“The big picture of market activity remains positive when compared to the quieter market at this time last year. This sets us up for what we predict will be a stronger 2025 in both prices and the number of homes sold, particularly if mortgage rates fall enough to significantly improve affordability for more of the mass-market.”

Plan Your Next Move with Boydens

Whether you’re buying, selling, or simply exploring your options, our team at Boydens Estate Agents is here to guide you every step of the way. Contact us today to discuss how we can help you achieve your property goals in 2025.

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