The summer may be winding down, but the UK property market is showing signs of shifting momentum as we move into autumn. Buyers and sellers are all feeling the impact of interest rates, supply, and tax reform speculation.
According to the latest ONS data, average UK house prices rose 2.8% year on year to £270,000 in the 12 months to July 2025. That’s down from 3.6% in the year to June. England saw prices at £292,000, up 2.7%, Wales at £209,000 up 2.0%, and Scotland at £192,000 up 3.3%.
At the same time, price pressure is easing: annual growth has cooled, and buyers have more options. More homes are on the market, particularly in southern England, leading to increased competition among sellers.
For buyers in Purley, Croydon & Greater London, this means you may be in a better position to secure the property you want - there will be lower competition in some areas and more stock. Being mortgage-ready and knowing what you want will help.
Sellers are being challenged by growing supply and slowing annual growth. Recent data from Rightmove shows the average asking price in Britain is now £370,257, which is about 0.1% lower than this time last year. That’s the first year-on-year decline in asking prices since January 2024.
While more listings means more choice, it also means properties that are not competitively priced will stay on the market for longer. Realistic pricing, good presentation, and smooth legal and valuation prep are more valuable than ever.
If you’re selling in Purley, Croydon & Greater London, focus on being competitive, have legal and survey documents ready, and be open to realistic offers.
The conversation around property taxes is intensifying. Chancellor Rachel Reeves is reported to be exploring various reforms ahead of the Autumn Budget. Key proposals include allowing stamp duty payments in instalments over several years rather than as a lump sum at purchase, as a way to ease upfront costs for buyers.
There is also ongoing speculation about replacing Stamp Duty Land Tax (SDLT) with a “homeowner tax” or a seller-side levy, particularly for homes above a certain threshold.
These reforms are still proposals, but they are influencing market confidence already. Sellers and buyers in Purley, Croydon & Greater London should stay aware, as whichever direction tax policy takes could shift costs, timing, and incentives.
Growth is expected to stay modest through the rest of 2025. Current forecasts don’t point to rapid gains - rather, slow but steady movement. With inflation still above target, borrowing costs remain a concern.
Mortgage rates are holding relatively high, and many analysts expect that rate cuts will come, if at all, gradually. Combined with tax policy uncertainty, this suggests that many buyers will move carefully, and many sellers will price cautiously.
We recommend speaking with CBM Financial an independent mortgage broker, who is well respected by mainstream institutions, private banks and other specialist providers.
Buyers in Purley, Croydon & Greater London, you've got a little more leverage than earlier in the year. Do your homework and get your financing in order.
Sellers, expect quieter market conditions in many places. Setting the right price will be more important than ever.
Keep a close watch on proposed Stamp Duty or property tax reforms - they could change how deals are negotiated and who pays what.
Shinerocks is here to help whether you’re buying or selling in Purley, Croydon & Greater London. Call 020 8660 2010 or email enquiries@shinerocks.co.uk to speak with our friendly team.
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You can also call us on 020 8660 2010, or email enquiries@shinerocks.co.uk.
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