
House prices flat in June, says Halifax: What will happen to values in the rest of 2025?
The mortgage lender revealed the average property price is now £296,665 compared to £296,782 last month.
This follows from a 0.4 per cent fall recorded in May when the typical home value dropped £1,150 on average.
However, despite the recent blip, Halifax says the average house price is still 2.5 per cent higher than this time last year.
'The market's resilience continues to stand out,' said Amanda Bryden, head of mortgages at Halifax.
'After a brief slowdown following the spring stamp duty changes, mortgage approvals and property transactions have both picked up, with more buyers returning to the market.
'That's being helped by a few key factors: wages are still rising, which is easing some of the pressure on affordability, and interest rates have stabilised in recent months, giving people more confidence to plan ahead.
'Lenders have also responded to new regulatory guidance by taking a more flexible approach to affordability assessments.'
Almost flat: The average property price is now £296,665 compared to £296,782 last month
Where are house prices rising the most and least?
As has been the story for a while now, there are considerable regional disparities when it comes to house prices.
The property market in the South West and London are particularly slow, according to Halifax.
Annually, prices in the South West are up 0.5 per cent while in the capital they have risen 0.6 per cent.
Among the English regions, the North West has seen the highest house price growth, up 4.4 per cent over the last year.
Northern Ireland continues to record the biggest jumps, up by 9.6 per cent over the past year. The typical home now costs £212,189.
Property prices in Scotland are up 4.9 per cent with average prices now at £214,891, while prices in Wales were up 3.9 per cent to an average of £229,622.
Nicholas Finn, managing director of buying agents Garrington Property Finders says in many areas in the south of England the number of homes coming onto the market far exceeds the number of potential buyers.
'This is keeping price rises to a minimum, or even pushing prices down,' said Finn. 'In some areas the glut of supply is so acute that estate agents are refusing to list homes where they feel the owner is asking for an unrealistic price.
'The imbalance is greatest in southern England, but is no longer just limited to the capital and its commuter belt.
'Halifax's data shows that the slowest rate of price growth is now in the South West - a reflection of the large numbers of second homes and holiday let properties being sold by their disenchanted owners.
'The net effect has been to turn the south into a buyer's market - in which buyers can ask for, and with the right seller, get a significant reduction in asking price.'
What next for house prices?
Halifax is expecting some house price growth in the second half of the year, not least because of lower mortgage rates.
'With markets pricing in two more rate cuts from the Bank of England by year end, and the average rate on newly drawn mortgages now at its lowest since 2023, we continue to expect modest house price growth in the second half of the year,' said Halifax's Amanda Bryden.
Tom Bill, head of residential research at Knight Frank warned that asking prices need to reflect the fact it is very much a buyer's market.
'House prices may have held steady, but high supply and weak demand suggest this is not the start of a rebound,' said Bill.
'New listings were 9 per cent higher than last year between January and June but new prospective buyers were down by 8 per cent.
'Supply is higher following the stamp duty cliff edge in March and as more landlords sell, but consumer confidence remains weak after economic activity was pulled forward into the first quarter of the year.'
Jeremy Leaf, a north London estate agent, also says that any house price momentum from lower interest rates is likely to be countered by fear of further tax rises in the autumn.
He said: 'Optimism with regard to further rate cuts this year has been partly offset by worries of tax increases in the autumn.
'The net result is slower, longer transactions and softening prices so sellers, particularly of higher-value homes, need to recognise market sensitivities if they want to stand out from the crowd.'
How to find a new mortgage
Borrowers who need a mortgage because their current fixed rate deal is ending, or they are buying a home, should explore their options as soon as possible.
Buy-to-let landlords should also act as soon as they can.
Quick mortgage finder links with This is Money's partner L&C
> Mortgage rates calculator
> Find the right mortgage for you
What if I need to remortgage?
Borrowers should compare rates, speak to a mortgage broker and be prepared to act.
Homeowners can lock in to a new deal six to nine months in advance, often with no obligation to take it.
Most mortgage deals allow fees to be added to the loan and only be charged when it is taken out. This means borrowers can secure a rate without paying expensive arrangement fees.
Keep in mind that by doing this and not clearing the fee on completion, interest will be paid on the fee amount over the entire term of the loan, so this may not be the best option for everyone.
What if I am buying a home?
Those with home purchases agreed should also aim to secure rates as soon as possible, so they know exactly what their monthly payments will be.
Buyers should avoid overstretching and be aware that house prices may fall, as higher mortgage rates limit people's borrowing ability and buying power.
What about buy-to-let landlords
Buy-to-let landlords with interest-only mortgages will see a greater jump in monthly costs than homeowners on residential mortgages.
This makes remortgaging in plenty of time essential and our partner L&C can help with buy-to-let mortgages too.
How to compare mortgage costs
The best way to compare mortgage costs and find the right deal for you is to speak to a broker.
This is Money has a long-standing partnership with fee-free broker L&C, to provide you with fee-free expert mortgage advice.
Interested in seeing today's best mortgage rates? Use This is Money and L&Cs best mortgage rates calculator to show deals matching your home value, mortgage size, term and fixed rate needs.
If you're ready to find your next mortgage, why not use L&C's online Mortgage Finder. It will search 1,000's of deals from more than 90 different lenders to discover the best deal for you.
> Find your best mortgage deal with This is Money and L&C
Be aware that rates can change quickly, however, and so if you need a mortgage or want to compare rates, speak to L&C as soon as possible, so they can help you find the right mortgage for you.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Reuters
15 minutes ago
- Reuters
Sterling slips with economic data, tariff uncertainty in focus
July 7 (Reuters) - Sterling slipped on Monday in a lacklustre start to a week packed with economic data reports that could offer clues to the interest rate outlook, while globally investors watched the latest deadline on U.S. tariffs. Sterling slipped 0.3% and last fetched $1.3601 against the U.S. dollar , while the pound was broadly unchanged against the euro at 86.23 pence. Last week saw investors in UK assets rattled by ambiguities around the health of public finances, as a number of U-turns by the governing Labour Party over welfare reforms sparked speculation around the future of finance minister Rachel Reeves. Traders are now shifting their focus to a set of data this week, with Monday bringing a report that showed British house prices stagnated month-on-month during June as expected, after an increase in tax on property transactions took effect in April. However, "the post April dip is likely to fizzle out", said Victoria Scholar, head of investment at interactive investor. "Plus, mortgage lending is improving, thanks to four rate cuts from the Bank of England over the last year and two more priced in this year." Later in the week, traders will scrutinize a report on gross domestic product that could offer clarity on the health of the UK economy and determine the outlook on interest rates. Bank of England policymaker Alan Taylor said late on Friday that he thought it would be better to cut interest rates now rather than wait and risk needing to cut them in a hurry. Taylor expects the Bank Rate to fall to "around 3%" by the end of next year. Traders largely anticipate the next 25 basis points interest rate cut by the central bank will be in September, according to data compiled by LSEG. Meanwhile, investors globally were awaiting a Wednesday deadline ahead of which economies scrambled to strike trade deals with the U.S. to avoid sharply higher duties on their exports to the United States. Britain was the first to secure an agreement with the U.S. in May and has avoided the additional tariffs on steel and aluminium. Negotiations are ongoing to remove existing 25% duties on industrial metals altogether. The pound has appreciated about 2% since the deal with the U.S. and is trading close to its highest level since late 2021, also benefiting from a broader dollar weakness. Separately, a Deloitte survey showed British business executives now see greater opportunities closer to home, while the attractiveness of the United States as an investment destination dwindled. In other news, Reeves is expected to announce a 28.6 million pound ($39 million) investment by the National Wealth Fund in a carbon capture project that could create jobs in central and northern England, as the government strives to shore up public support.


BBC News
18 minutes ago
- BBC News
Cost of new laws 'will see Guernsey landlords sell up'
New laws brought in to make rental homes "safer" in Guernsey will prompt landlords to sell their properties, the chairman of the Guernsey Landlords Association Guilbert said four or five landlords a month were already leaving the industry and the cost of complying with the new laws could prompt others to follow."The bottom line is we're all running a business and, at the moment, our target area is 6% gross, but it's getting less and less."The legislation is part of work being carried out to tackle Guernsey's "significant housing pressures". The Housing Standards laws were designed to ensure rental homes are safe and fit for law states the minimum standards for rental accommodation should ensure buildings are structurally sound and comply with fire safety requirements as well as providing safe drinking will be required to ensure electrical installations are tested every five years and oil and gas installations are checked annually."Guernsey is a high cost for rental and that's reflected because of the high cost of property," said Mr Guilbert. "All these things, if we have to implement them, are just going to push the cost up."Mr Guilbert said he worried about the "availability of people to carry out the checks".He said he felt private landlords were being unfairly targeted."It technically applies to the private owner-occupier. I don't think any checks will be done on them."


BBC News
18 minutes ago
- BBC News
City of York Council 'rules out' congestion charge
Congestion charges have been ruled out as a method of cutting city centre traffic in York, transport leaders Ravilious, City of York council's executive member for transport, said the measure was not among those being considered, though said "everything else is part of the toolbox".Speaking at Active City York 2025, Ravilious said other schemes being considered include the creation of a "Sustainable Transport Corridor" from York Station to Tower she said it was important to "get the framing right" after the recent backlash to increased parking charges in the city. Ravilious spoke to attendees at the event alongside Public Health Director Peter Roderick about the council's efforts to promote walking, cycling and public transport council's Local Transport Strategy, which is guiding the work, aims to cut car use in York by a fifth by 2030, according to the Local Democracy Reporting told the event plans to achieve the goal include the creation of a Sustainable Transport Corridor, to give buses priority along a route from York Station to Tower Street via the Ouse Bridge, over all but essential private car said the authority had also tried to use hikes in parking charges at council-run car parks to try and discourage car she acknowledged the reaction from residents, traders and opposition councillors highlighted the importance of taking people with them when enacting transport changes. "We raised parking charges to reduce congestion by making a family bus ticket cheaper than the first two hours," she said."But we didn't get the framing right and it's not gone down well, it's very difficult because it came as part of our budget so we couldn't do it with the positives."It's been very difficult and painful, it's been a lesson for us to have the carrot alongside the stick."We've ruled out a congestion charge for York, but everything else is part of the toolbox, parking is an important tool and we all have to address it." Listen to highlights from North Yorkshire on BBC Sounds, catch up with the latest episode of Look North.