The property market across the UK continues to show signs of stability. House prices edged up by 0.3% in April following a small decline the previous month, bringing the annual rate of price growth to 3.2%. The average value of a home now sits just under £298,000.
This modest increase suggests that, despite the wider economic backdrop and recent tax changes, buyer demand is holding up.
Stamp duty changes prompt early-year activity
In the lead-up to 1 April 2025, the return to lower nil-rate stamp duty thresholds prompted a noticeable uptick in activity. Buyers looking to avoid paying more tax completed transactions earlier in the year, particularly in March.
Since then, the market has calmed slightly. However, the early surge didn’t result in a significant spike in prices. Instead, values have remainedrelatively stable over recent months, something not seen consistently since the pandemic.
Regional differences still evident
While price growth across the UK has averaged just over 3% annually, some areas continue to see stronger movement than others.
The strongest annual growth has been recorded in parts of Northern Ireland, Wales, and Scotland, where typical property values remain lower than the national average. In contrast, some regions in southern England, including the South West and London, have seen much slower growth, with prices barely rising over the last year.
The north-south divide in price movement continues to be a feature of the market.
What it means for buyers and sellers
For buyers, especially those purchasing for the first time, recent changes to stamp duty have increased the overall cost of moving. At the same time, the possibility of slightly more affordable mortgages offers some relief.
Many lenders are now offering products just below the 4% mark, which could support affordability for those with stable incomes and deposits. That said, affordability remains a key consideration, especially in regions where property prices are high.
Sellers may find that while the number of active buyers remains healthy, pricing needs to be carefully considered. Buyers are well-informed and sensitive to overall costs, so realistic pricing and good presentation remain important.
Interest rate cut introduced in May
On 8 May, the Bank of England reduced its base interest rate from 4.5% to 4.25%. The decision was aimed at supporting the broader economy and easing pressures on borrowers.
The move may influence borrowing costs in the mortgage market, with some lenders already adjusting fixed-rate deals. For homebuyers and those looking to remortgage, lower interest rates could help offset some of the higher tax and living costs they are factoring into decisions.
While the exact impact of the rate cut will depend on how lenders respond, it adds an encouraging signal for those watching the cost of borrowing closely.
What we’re seeing locally in Rushden
Here in Rushden, we continue to see good levels of interest across a range of property types. There’s been no sudden drop in activity despite the national shifts, if anything, more stock coming to market has brought added momentum.
Buyers remain active, particularly where properties are priced in line with the current market. The area’s appeal, strong transport links, and mix of housing types keep demand steady, even as buyers weigh up new costs and lending conditions.
A good time to review your position
It’s fair to say the property market has moved into a more settled phase. Activity early in the year has now levelled out, and while affordability pressures remain, there is also more choice, slightly better mortgage options, and continued buyer interest.
Good decisions start with the right advice. If you’reconsidering buying, selling, or just want to understand your options under the new stamp duty thresholds and interest rate environment, we’rehere to help.
Our team offers clear, straightforward advice based on decades of local experience - and we take the time to understand what success looks like for you.
If you're considering your next move, speak to us at Prime Choice. Our Rushden and Kettering teams are ready to help you take the next step with clarity and confidence.
