Asking prices for British homes have fallen more sharply than usual for this time of year as anticipation builds ahead of finance minister Rachel Reeves’ budget next week, according to a survey released on Monday.
Rightmove reported that average new seller prices dropped by 1.8% in the four weeks to November 8 — the steepest seasonal decline since 2012 — leaving prices 0.5% lower than a year ago. The highest level of available housing stock in a decade is also adding downward pressure on prices, the property website said.
Other indicators, including monthly data from the Royal Institution of Chartered Surveyors, have similarly pointed to cooling momentum in the housing market in the lead-up to the November 26 budget, which is widely expected to introduce tax increases.
Rightmove noted that asking price cuts on existing listings have risen to their highest level since February 2024. The uncertainty surrounding the budget is hitting the top end of the market particularly hard, with agreed sales for homes priced above £2 million falling 13% year-on-year.
Despite the slowdown, overall sales activity for 2025 to date remains 4% higher than during the same period in 2024.
“The budget is a major distraction, and coming later in the year than usual, many prospective buyers are waiting to understand how their finances might be affected. It seems the traditional Christmas slowdown has arrived earlier than expected,” said Colleen Babcock, property expert at Rightmove.
