UK Home Prices Drop £6,395 in December as Market Activity Rises

Seasonal price dip coincides with a 22% increase in house sales, driven by lower mortgage rates and looming stamp duty changes.

The average asking price for UK homes fell by £6,395 (1.7%) in December to £360,197, according to Rightmove data.
Despite the seasonal slowdown, house sales surged 22% compared to December 2023, attributed to lower mortgage rates and increased buyer activity.
The upcoming April reduction in the stamp duty threshold for first-time buyers has prompted increased listings of smaller homes in high-priced areas like London and the South East.
Rightmove predicts a 4% rise in asking prices in 2025, supported by potential mortgage rate cuts and a Boxing Day surge in market activity.
Rental price growth has slowed to its lowest rate in four years, though rents remain 31.6% higher than in November 2020.