In September, average asking prices for homes in the UK rose month on month for the first time since May, indicating an ‘autumn bounce’ in the housing market, according to Rightmove. The property website reported a 0.7% increase, equivalent to £2,441, bringing the national average asking price to £367,440. This rise surpasses the decade-long average September increase of 0.5%. The increase comes after a particularly quiet summer affected by heatwaves and the World Cup. Despite the rise, average prices remain 0.8% lower than the same time last year and 2.3% below early summer levels.
The housing market remains competitive, with the number of homes available for sale reaching a 12-year high. The Bank of England kept interest rates at 3.75% last week, but fixed mortgage rates have been rising due to increases in swap rates. Finance experts suggest that buyers will likely remain cautious and price-sensitive. Buyer demand is reportedly below last year’s levels, as affordability challenges persist. Colleen Babcock from Rightmove noted that while September saw more buyers return to the market, sellers face stiff competition from a high number of available homes.
Autumn activity sparks optimism in housing market
Rightmove’s analysis highlighted that 74% of homes sold this year were priced correctly from the start, avoiding the need for later price reductions. The likelihood of finding a buyer varies across regions, with Scotland seeing a 91% success rate compared to 42% in London. Mortgage expert Matt Smith noted that despite the traditional autumn increase in buyer activity, volatile mortgage rates present significant challenges. Sellers are advised to price competitively and present homes well to attract interest in a crowded market.
Kevin James from Bradleys Estate Agents observed better-than-expected activity over the summer, especially among sellers who adjusted their expectations to market affordability pressures. Marc von Grundherr from Benham and Reeves emphasised the importance of correct pricing and good presentation, particularly in areas like London where buyers have ample choice.
What this means for newcomers
For newcomers to the UK, these housing market changes highlight the importance of understanding the local rental and buying landscape. While buying a home may seem appealing, many newcomers start by renting. The Renters Rights Act 2025, effective from May 2026, has introduced significant changes to renting in England. A key change is that landlords can no longer issue Section 21 no-fault eviction notices, requiring a valid legal reason for eviction instead.
Newcomers should be aware of the shift to assured periodic tenancies, which continue month to month without a fixed end date. This offers more stability for renters, allowing you to stay as long as you comply with your agreement. For detailed guidance on dealing with the UK rental market, including protections and what to expect, check out our UK renting guide for newcomers.
What you should do
- Understand your tenancy rights: Familiarise yourself with the Renters Rights Act 2025. This legislation provides significant protections, including the abolition of Section 21 evictions, ensuring you can only be evicted for a valid legal reason.
- Prepare for rental costs: Setting up a UK bank account is essential for managing rent payments. You’ll typically need a security deposit capped at five weeks’ rent and the first month’s rent in advance. Be aware that agents cannot charge additional fees.
- Check your Right to Rent: Before moving in, ensure you pass the Right to Rent check. You’ll need to provide documents or use an online share code to confirm your eligibility to rent in England.
Frequently asked questions
How often can rent be increased under the new rules?
Rent can only be increased once a year with at least two months’ notice. You have the right to challenge any unfair increase at a tribunal.
Are there any fees I should be aware of when renting?
Under the Tenant Fees Act 2019, agents cannot charge you for referencing, admin, renewals, or check-outs. Your security deposit is also capped.
Do these rental rules apply across the UK?
The Renters Rights Act applies to private renting in England. Wales, Scotland, and Northern Ireland have their own tenancy laws, although many principles are similar.
Can a landlord refuse to rent to me based on my nationality?
A landlord cannot refuse to rent to you based solely on your nationality. They must conduct a Right to Rent check fairly and cannot discriminate based on where you are from.
Source: Independent UK: read the original
