In June 2025, UK house prices increased by 1.4% from May, with a 3.7% annual rise, highlighting regional disparities and market recovery.
This trend affects homebuyers, sellers, and investors across the UK, with notable growth in the North East and slower progress in London.
Regional Variations in House Price Growth
The UK housing market experienced varied growth across regions in June 2025. England saw a monthly increase of 1.3% and an annual rise of 3.3%, with significant differences between areas.
The North East led with a remarkable 7.8% annual increase, while London lagged behind at just 0.8%. These variations highlight the diverse economic conditions influencing property values across the country.
Price change by region for England
| Region | Average price June 2025 | Annual change % since June 2024 | Monthly change % since May 2025 |
|---|---|---|---|
| East Midlands | £239,000 | 4.4 | 0.6 |
| East of England | £338,000 | 3.7 | 1.2 |
| London | £561,000 | 0.8 | 0.6 |
| North East | £164,000 | 7.8 | 3.4 |
| North West | £212,000 | 5 | 2.5 |
| South East | £383,000 | 2.8 | 1.4 |
| South West | £302,000 | 1.5 | -0.5 |
| West Midlands | £247,000 | 3.5 | 1.8 |
| Yorkshire and the Humber | £204,000 | 3.3 | 0.7 |
Market Dynamics and Influences
- The average UK property value reached £269,000 in June 2025.
- Wales reported a modest monthly increase of 0.7% and an annual rise of 2.6%.
- Repossession sales were highest in London but lowest in the South West for April 2025.
- New build properties saw a significant annual price increase of 14.5%, despite limited transaction data.
- UK property transactions rose by 13.4% between May and June, indicating increased market activity.
Average price by property type for England
| Property type | June 2025 | June 2024 | Difference % |
|---|---|---|---|
| Detached | £470,000 | £451,000 | 4.2 |
| Semi-detached | £286,000 | £273,000 | 4.9 |
| Terraced | £243,000 | £234,000 | 3.8 |
| Flat/maisonette | £223,000 | £225,000 | -0.9 |
| All | £291,000 | £282,000 | 3.3 |
The Impact on Homebuyers and Sellers
The rising house prices present both opportunities and challenges for homebuyers and sellers across the United Kingdom.
For those looking to sell, increased property values can lead to higher returns on investment; however, first-time buyers may face affordability issues due to escalating costs outside London where growth is strongest.
Funding and buyer status for England
| Transaction type | Average price June 2025 | Annual price change % since June 2024 | Monthly price change % since May 2025 |
|---|---|---|---|
| Cash | £277,000 | 2.7 | 1.4 |
| Mortgage | £297,000 | 3.6 | 1.3 |
| First-time buyer | £244,000 | 3.1 | 1.4 |
| Former owner occupier | £353,000 | 3.5 | 1.3 |
Understanding Repossession Trends
Despite overall low repossession sales in England during April 2025—totaling only 96—London recorded the highest number at 18 cases. This trend suggests that while some areas experience financial strain leading to repossessions, others maintain stability amidst rising prices.
A Look Back
The current housing market rebound contrasts earlier reports from Nationwide and Rightmove indicating slower growth or slight declines earlier this year due to economic uncertainties.
Post-pandemic recovery efforts such as stamp duty changes affected buyer behavior significantly over time periods.
Additional Reading
Final Thoughts
The UK’s housing market shows signs of recovery with regional disparities affecting buyers differently across regions like London versus the North East’s rapid growth rates.
Sources: HM Land Registry.
Prepared by Ivan Alexander Golden, Founder of THX News™, an independent news organization delivering timely insights from global official sources. Combines AI-analyzed research with human-edited accuracy and context.
