The UK property market has reached midsummer in a healthier and more flexible position than the headlines might initially suggest. Buyers have a strong selection of homes to explore, sellers who respond to current conditions are continuing to secure moves, and official figures show that average house prices remain above their levels of a year ago.
Mortgage rates have also moved in a more helpful direction, while a new Prime Minister brings an opportunity for housing to return to the centre of the government’s domestic agenda.
Rather than viewing July as a slowdown, it may be more useful to see it as a market reset. People are still moving, but they are doing so with greater care, clearer priorities and more realistic expectations.
For buyers, one of the most positive features of the current market is the amount of choice available.
The latest Rightmove House Price Indexshows the average asking price of a newly listed home fell by 1.0% in July to £372,359. While this was a larger reduction than the typical July dip, it reflects sellers competing more actively for summer buyers rather than a lack of confidence in the market.
The number of homes available remains close to a 12-year high for this point in the year. That gives buyers time to compare properties, explore different locations and consider what represents genuine value without the intense pressure associated with a shortage of stock.
There is encouraging news on borrowing costs too. Rightmove’s mortgage trackershows the average two-year fixed mortgage rate fell to 4.92% in July, down from 5.08% the previous month. Even relatively small rate reductions can make a meaningful difference to monthly payments and may help some buyers widen their search.
The latest Bank of England figures show mortgage approvals for house purchases fell to 56,200 in May. While this indicates that buyers remain thoughtful about affordability, it may also create opportunities for those who are fully prepared and ready to proceed.
Tip for buyers:
Use the summer market to look beyond the photographs. View promising homes more than once, explore the local area at different times and check likely running costs. More choice gives you the chance to find a home that suits both your lifestyle and your long-term budget.
July can be a very useful month for sellers who understand how to work with the season.
The holidays, hot weather and major sporting events naturally compete for people’s attention, but those still searching during the summer are often motivated by a genuine need or desire to move. A seller who presents the property well, offers convenient viewing times and prices in line with the local market can make a strong impression.
Rightmove reports that overall housing activity is 6% lower than at this point last year, but remains level with the first half of 2024. This confirms that buyers are still committing where the property and price feel right.
Official house price figures also provide a reassuring backdrop. The latest Office for National Statistics data shows average UK house prices increased by 2.7% in the 12 months to May 2026, reaching £271,000.
Average prices rose to £292,000 in England, £215,000 in Wales and £196,000 in Scotland. Wales and Scotland recorded annual growth of 4.2% and 4.4% respectively, showing that many parts of the country continue to experience healthy price movement.
Nationwide’s June index also recorded positive annual growth of 2.2%, with the average non-seasonally adjusted house price standing at £277,484.
These national figures will not mirror every postcode, but they show that the wider market remains resilient.
Tip for sellers:
Make the most of the season. Tidy outside areas, clean windows, bring more light into darker rooms and show how the home can be enjoyed during warmer weather. A simple seating area, an open patio door or a bright dining space can help buyers picture everyday life there.
In a market with more choice, trust can be a strong selling point.
Buyers increasingly want practical information about heating, insulation, energy bills, broadband, parking, storage and maintenance. Sellers who prepare this information in advance can make the property feel easier and safer to buy.
Gather boiler service records, warranties, planning documents and details of improvements before serious questions begin. If the home has a good EPC rating, recent insulation, double glazing or a newer heating system, make sure those features are clearly explained.
This does not require turning the property into a show home. It is about removing uncertainty and helping buyers understand the value behind the asking price.
Andy Burnham became Prime Minister on 20 July 2026, having returned to Parliament and been elected Labour leader earlier in the month.
His appointment creates an opportunity for the government to refresh its approach to housing. During his time as Mayor of Greater Manchester, Burnham became closely associated with regional growth, public transport and devolved decision-making, all of which can affect where people choose to live and invest.
Angela Rayner has been appointed Secretary of State for Housing, Communities and Local Government, while Matthew Pennycook remains a housing minister and will attend Cabinet. This continuity may help existing housing work continue while new priorities are developed.
The government has not yet published a complete new programme for Stamp Duty, planning reform or housebuilding. However, Rightmove has already called on the new administration to put housing high on its agenda, including reforming Stamp Duty and helping housebuilders move closer to the target of 1.5 million new homes.
Greater political attention on supply, planning and the cost of moving could support activity throughout the property market. More detail is expected as the new government sets out its programme.
July’s data points to a market with encouraging foundations.
Official house prices remain higher than a year ago, mortgage rates tracked by Rightmove have eased, and the large number of available homes is giving buyers more freedom to find the right fit.
For sellers, greater choice means presentation and pricing matter, but committed buyers are still active.
The change of Prime Minister also brings the possibility of renewed momentum around housing supply, affordability and infrastructure.
The UK property market in July 2026 offers opportunity across every part of the market.
Buyers can benefit from wider choice and improving mortgage rates. Sellers who present well and price sensibly can still attract motivated interest.
The market is not standing still. It is becoming more considered, more realistic and, in many ways, more accessible to people who prepare carefully.
Shinerocks is here to help you understand what the latest market conditions mean for your next move.
Call 020 8660 2010 or email enquiries@shinerocks.co.uk to speak with our friendly and experienced team.
Note: The information in this article is based on the most recent data available as of June / July 2026 and may change. Always seek professional advice for specific circumstances.
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