Outlook for housing market in 2025

Outlook for housing market in 2025 – forecasts for house prices

Rightmove predicts national average asking prices will rise by 4% in 2025. While this is Rightmove’s largest prediction for price growth since 2021, it’s in-line with average long-term price growth. The Covid influenced years of 2020, 2021 and 2022 saw larger increases in prices. One factor for this was the imbalance between supply and demand – there was a lot of pandemic-driven demand for property, while supply was constrained.


The property portal expects the number of homes for sale to remain high next year, which means strong competition will remain for sellers, and likely prevent higher price growth. However, these factors will also help agreed sales, and Rightmove anticipates a higher number of transactions in 2025 of around 1.15 million in total.


Nationwide says that providing the economy continues to recover steadily, the underlying pace of housing market activity is likely to continue to strengthen gradually as affordability constraints ease through a combination of modestly lower interest rates and earnings outpacing house price growth, where the latter is likely to remain broadly in the 2-4% range in 2025.

 

Our award-winning team look forward to helping you make your move stress-free.

 

Arins Property Services - selling & letting homes in, Lower Earley, Shinfield, Tilehurst, Winnersh, Reading and Wokingham since 2009.

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