Average new seller asking prices fell by 1.8% (£6,695) this month to £358,138. This larger-than-usual December decline means prices end 2025 0.6% (£2,059) lower than at the end of 2024.
Uncertainty linked to speculation around potential property tax rises in November’s Budget, circulating from as early as August, contributed to more subdued market activity and weaker pricing in the second half of the year.
The number of new sellers coming to market in the first half of 2025 was 9% higher than in the same period of 2024, before reversing to 4% below last year’s levels in the second half. Buyer demand followed a similar pattern, running 3% ahead of 2024 in the first half of the year but falling to 6% below in the second half.
Despite the slowdown, overall sales activity remained relatively positive, with the number of sales agreed ending the year 3% higher than in 2024 – a trend Rightmove hopes will continue into the so-called Boxing Day Bounce.
Looking ahead, the property portal expects market conditions in 2026 to more closely resemble the stronger first half of 2025, rather than the confidence-hit second half. Buyer affordability is expected to improve, while the supply of homes for sale remains at its highest level for a decade.
As a result, Rightmove forecasts stronger market activity next year, with modest upward pressure on prices and the average asking price of new listings rising by around 2% in 2026.
Rightmove’s Colleen Babcock said: “Lower price growth supported buyer affordability and drove activity in the first half of the year, even after the April stamp duty deadline in England. In the second half of 2025, uncertainty caused by rumours of property tax changes in November’s Budget swirled, some from as early as August. This had an impact on pricing and activity, as sellers tried to entice nervous buyers. The market will soon benefit from the traditional boost in home-moving activity from Boxing Day.
“Rightmove’s Boxing Day Bounce is an annual event where we see many begin or resume their plans to move after the distraction of Christmas. With the turkey and trimmings barely off the table, each year we see people heading straight to Rightmove to browse the fresh listings for sale and imagine how different next Christmas could look.”
Matt Smith, Rightmove’s mortgage commentator, added: “We’re expecting to end the year with a Bank Rate cut, which would be good for confidence heading into the Rightmove Boxing Day Bounce. It’s unlikely that it will cause much movement in mortgage rates – the markets are very much expecting December’s cut to go ahead, and lenders have shown their hand early, cutting rates and competing to secure end-of-year business.
“The headline is that home-movers will be entering 2026 looking at cheaper average mortgage rates than they were at the beginning of 2025, helping affordability. Those who are seeing slightly lower house prices in their area compared to last year and may have also had an end-of-year pay rise, will see their affordability improved further.
“Many home-movers will also see that the amount that they can borrow has increased, as lender have been rolling out the loan-to-income and stress rate changes that were permitted by the regulator earlier this year.”