Data released today by Rightmove shows the average asking price of a newly listed home rose by 1.2% in May, adding £4,333 to reach an average of £378,304. The increase is slightly above the typical 1% increase usually seen at this time of year, suggesting seller confidence remains relatively resilient despite wider economic uncertainty.

However, average asking prices remain 0.3% lower than a year ago, reflecting continued affordability pressures and increased competition among sellers.

To add, buyer choice is now at its highest level for this stage of the year since 2015, with around 32% of homes currently on the market having undergone at least one price reduction.

Buyer choice at 11-year high as asking prices edge up – Property Industry Eye

Industry reaction: 

Tom Bill, head of UK residential research at Knight Frank: “The recent spike in borrowing costs will only have a gradual impact on demand, as more favourable mortgage offers that predate the Middle East conflict lapse over coming months. A Labour leadership contest this summer will add to the mood of uncertainty and keep downwards pressure on prices and, to a lesser extent, transaction numbers.

“Speculation over the content of this autumn’s Budget and the ideological stance of any new Chancellor could also keep a lid on activity, especially if bond markets are unsure about their policy agenda and borrowing costs stay high.”

Adam Feather, director at Robert Anthony Estate Agents: “We have seen housing market activity slow as buyers become more focused on securing better value for money, but that shift has not yet fully fed through to many sellers.

“As a result, a number of vendors are still positioning properties at what they perceive to be peak achievable pricing, which is contributing to the uptick in asking prices, even where underlying demand is more price-sensitive.

“That gap between asking prices and achieved values is becoming more visible, and in many cases there is still clear room for negotiation. Buyers are generally more cautious and willing to challenge pricing where they feel expectations are unrealistic.”

Hollie Whittaker, founder of Block & Brick: “We’re continuing to see our sales agreed figures rise month on month, which is really encouraging and reflects improving confidence from buyers across our local market. We’ve also seen a noticeable increase in viewing numbers recently, with plenty of buyers still actively looking and engaging with new properties coming to market.

“That said, realistic pricing remains absolutely vital. Buyers currently have a lot more choice available, so they’re taking their time and comparing properties carefully before making decisions. We’re finding that homes priced correctly from the outset are attracting strong interest and agreeing sales, whereas properties that have been sitting on the market for a while are often only seeing renewed activity once there’s been a price reduction.”

Craig Webster, managing director at Tiger Estates & Management: “This month was actually our strongest month of the year so far in terms of agreed sales, which shows that there is still strong underlying activity within the market. That being said, the impact of mortgage rate increases will inevitably affect sentiment and affordability moving forward. While buyers are still active, the market is beginning to shift towards one where buyers have more choice, become more selective, and naturally have stronger negotiating power.

“As a result, realistic initial pricing strategy and proactive communication throughout the transaction process will become increasingly important for sellers and agents alike over the coming months. Overall, the market is still moving, but success is increasingly determined by sales strategy rather than sentiment alone.”

Shawbrook’s Louise Apollonio: “While month-on-month prices are up by 1.2%, the steady start to the year is fading as house prices react to waning buyer demand. Around 32% of homes currently on the market have undergone at least one price reduction whether that’s due to a seasonal post-Easter lull, or broader economic caution. Rising costs and global uncertainty could also be deterring buyers, who may be holding out until there’s more clarity.

“While demand is low, now is a good opportunity for buyers to seek better deals, particularly as affordability remains an issue. In the coming months, while the property market adopts a ‘wait-and-see’ mindset, buyers would benefit from using this time to speak with a broker and assess the best options going forward.”

Benjamin Brain, sales & marketing director at Hannells: “Since the beginning of 2026, we’ve seen the number of properties coming to market across Derby steadily increase month-on-month, suggesting that many buyers and sellers remain committed to moving despite the wider economic uncertainty and ongoing cost of living pressures.

“Whilst this has naturally created greater buyer choice and a more competitive marketplace for sellers, demand levels remain strong across many parts of the city. We’re continuing to see numerous examples of properties achieving sales at or above asking price where homes are priced realistically from the outset.

“With mortgage rates beginning to show signs of stabilising following recent volatility, underlying buyer confidence across the Derby market remains encouraging heading into the summer months.”

Buyer choice at 11-year high as asking prices edge up