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UK House Prices Reach Record Highs In 2025

UK House Prices Reach Record Highs in 2025

The UK housing market hit a new milestone in April 2025, with house prices soaring to their highest average on record.

For landlords, property owners, and investors, this presents a unique window of opportunity.

At London Estate Agency, we’re helping our clients stay ahead of the curve—maximising rental yields,

selling faster at higher prices, and securing long-term returns in a competitive landscape.

House Prices Surge in 2025: What’s Fueling the Growth?

House prices in the UK have now exceeded an average of £375,000, with demand continuing to outstrip supply.

This ongoing growth is being driven by:

  • A shortage of quality homes for sale
  • Falling mortgage rates, encouraging more buyers to act now
  • A sharp increase in buyer confidence
  • The growing need for energy-efficient homes

We use this knowledge to position your property at the right price—attracting serious buyers and generating multiple offers.

Whether you’re selling or letting, we ensure you’re not leaving money on the table.

Regional Breakdown of Average Asking Prices (April 2025):

  • East Midlands: £285,000 – Year-on-Year Growth: +6.9%
  • South West: £345,000 – Year-on-Year Growth: +6.2%
  • North West: £258,000 – Year-on-Year Growth: +7.4%
  • London: £670,000 – Year-on-Year Growth: +4.8%

We’ve helped sellers in London and surrounding areas exceed asking price expectations using strategic listings, bespoke marketing, and expert negotiations.

Fewer Listings = Higher Prices – A Seller’s Advantage

The number of properties on the market is still well below pre-pandemic levels.

This tight competition is creating a seller’s market where properly marketed homes are achieving:

  • Quicker sales
  • Multiple competing offers
  • Up to 10% above asking price
  • If you’re considering selling, now is the time. With our extensive local network and proactive buyer database,

London Estate Agency quickly gets your property in front of the right people.

For Landlords: Rent Reviews and Full Legal Support Under One Roof

Landlords can also benefit from this price surge. As property values rise, so too should rental income.

Many of our landlord clients are increasing their rent to match current market levels—safely and legally—with our in-house support.

Our Landlord Services Include:

  • Section 13 rent increase support
  • Market rent analysis and negotiation
  • Tenant screening & referencing
  • Guaranteed rent protection
  • EPC services for compliance and marketing

By handling everything from compliance to communication, we make it easy for landlords to maximise income and minimise risk.

Buyer Sentiment Is Strong – Why This Matters for Sellers

The number of mortgage approvals is rising steadily, with first-time buyers and movers keen to act before prices increase. Buyers are prioritising:

We help you highlight these selling points in your listing with professional photography, virtual tours, and targeted online campaigns—ensuring your property stands out.

Property Market Outlook for 2025 – Still Time to Get Ahead

Price growth is expected to continue through the year. Based on current data, the forecast shows steady increases:

Property Market Outlook for 2025 – Still Time to Get Ahead

Price growth is expected to continue throughout the year. Based on current data, the forecasted average UK house prices are:

  • January 2025: £360,000
  • April 2025: £375,000
  • August 2025 (forecast): £385,000
  • December 2025 (forecast): £392,000

Whether you’re selling a home or letting out a rental, you could benefit from favourable conditions now—before the summer surge brings more competition.

Why Choose London Estate Agency?

We’re not just another estate agency. We’re a partner in your success. Our team combines:

  • Local market expertise
  • In-house legal and rent protection services
  • Custom marketing strategies tailored to your property
  • A results-driven, no-nonsense approach

From accurate pricing to expert negotiation, we ensure you keep more of your profit—without the stress.

FAQs

Are house prices still rising in the UK in 2025?

Average asking prices are at record highs, with continued growth expected into late 2025.

Is now a good time to sell?

Absolutely. The lack of supply and high demand mean homes are selling faster and for more money, and we help you take advantage of that.

How can landlords increase their rent legally?

We handle everything under Section 13 legislation, offering compliant notices and complete documentation—making rent increases safe and straightforward.

What if I want to rent out instead of sell?

No problem. Our full letting service includes tenant screening, legal compliance, rent protection, and ongoing management.

How do I start?

Contact us today at London Estate Agency for a free valuation and personalised advice tailored to your goals.

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