Key trends from Summer 2025
As valuation professionals, we are trained to look beyond the headlines and analyse the fundamental data that shapes the property market.
The latest market report, showing a seasonal drop in asking prices alongside the strongest July for sales agreed since 2020, presents a nuanced picture. While the press may focus on "savvy sellers," our role is to understand the underlying mechanics and what they mean for our valuations.
This month's data confirms a key trend we've been observing on the ground: the emergence of a distinct "two-speed" market. For us at Carpenter Surveyors, interpreting this is crucial for providing accurate, evidence-based advice to clients and lenders.
The Widening Gap: Asking Price vs. Market Value
The most critical takeaway for any surveyor is the divergence between initial asking prices and the price at which sales are being agreed. The data shows that while the average time to find a buyer is 62 days, this masks a significant split:
Properties priced correctly from the outset find a buyer in just 32 days.
Properties requiring a price reduction take an average of 99 days to sell.
With over a third of properties (34%) currently seeing a price reduction, it's clear that initial asking prices are often optimistic. As surveyors, this reinforces the need to base our Market Value assessments on robust comparable evidence of agreed sales, rather than being unduly influenced by aspirational asking prices in a well-supplied market. The 10% year-on-year increase in available stock gives buyers more choice and, consequently, greater negotiating power.
Economic Levers in Action: Interest Rates and Buyer Demand
The market's momentum is being supported by improving affordability.
The Bank of England's third rate cut of the year has brought the average two-year fixed mortgage rate down to 4.49% from 5.17% this time last year. For a typical mortgage, this represents a tangible saving of over £100 per month, directly boosting buyer confidence and their ability to transact.
This increased demand is reflected in the number of sales being agreed, which is up 8% on last year. While positive, we must balance this against the high levels of supply. The current environment is not one of runaway growth but of healthy, price-sensitive activity. Our valuation reports must reflect this equilibrium, acknowledging the active buyer pool while remaining grounded in the reality of a competitive market for sellers.
Our Outlook for Autumn: Activity and Realism
The strong summer performance, combined with stable borrowing costs, suggests we are heading into a busy autumn period. We anticipate a healthy pipeline of instructions for surveys and valuations as buyers and sellers look to complete moves before the end of the year.
Our professional guidance remains consistent: accurate, realistic valuations are the bedrock of a fluid market. The data clearly shows that properties aligned with true market value from day one are the ones that transact efficiently. It is our responsibility to provide this clarity, using our expertise and comprehensive data analysis to guide clients away from the pitfalls of over-pricing in a market that rewards realism.
At Carpenter Surveyors, we will continue to monitor these trends closely, ensuring our valuations provide the impartial, expert insight our clients depend on.
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