UK house prices have recorded their largest June drop in over a decade, with the average asking price falling by 0.6% last month, or £2,113, to £376,191, according to property portal Rightmove. This significant decline marks a reversal of the typical modest increase in asking prices seen during this time of year.
The surge in available properties on the market is driving these lower prices. Rightmove reports that current stock levels are 6% higher than those recorded last year and 12% above 2023 numbers, creating a buyer's market where consumers have more choice and can afford to be picky. As a result, nearly a third of newly listed properties remain unsold, highlighting the importance of realistic initial pricing.
Regional variations in pricing trends are emerging, with areas such as southern England and Wales experiencing sharper price drops than other parts of the country. In contrast, more affordable regions like the North East and Scotland have shown greater resilience, suggesting that high property values and borrowing costs exacerbate pricing sensitivity.
Sales activity remains relatively stable, with buyer demand down 10% year-on-year but comparable to levels seen throughout 2026. The number of sales agreed was lower by 6%, yet transactions are on a par with 2024 figures and exceed those from 2023. This indicates that while buyers are taking longer to commit, properties continue to sell – albeit in a more price-sensitive environment.
A slight improvement in mortgage affordability could provide some support for the market. Rightmove's mortgage tracker shows the average two-year fixed mortgage rate has decreased by 0.11% over the past month, resulting in an average saving of around £30 on monthly mortgage repayments. Colleen Babcock from Rightmove noted that while market activity remains within historical ranges, buyer behaviour has changed due to increased choice and borrowing costs.