House prices across the UK rose by 3.7% year-on-year as of June 2025, the average property now sits around £269,000
In London, the year-on-year increase is more modest at 2.2%, with the average home priced at £566,000. Notably, prices dropped 1.4% from April to May
Asking prices saw a 1.3% drop in August, particularly strong in London where Richmond upon Thames led with a 4.7% decline
On the rental front, London remains the most expensive region, with rental price inflation at 6.3%, and average rents around £2,250/month
Housing starts in London are tumbling fastest in the UK—only 1.04 new homes launched per 1,000 existing dwellings, a 73% drop year-on-year, signaling deep future supply constraints
Why it matters: Affordability is under pressure, and despite steady activity, supply shortfall and price corrections in affluent boroughs hint at shifting dynamics.