From Cautious to Competitive: How the North West is Playing the Property Game

‘‘Any fat on pricing is not being rewarded’’

At the start of the year, we proceeded with cautious optimism. After a slower than usual 2024, we were beginning to see signs of renewed confidence, early-bird buyers dipping their toes back in, mortgage rates showing signs of softening, and sellers cautiously entering the market with hopes of a springtime rebound. 

Now, as we reach July, the story has evolved in ways that few might have fully predicted. While the headlines might be shouting about falling prices, the truth is a little more nuanced and arguably more promising. 

In January, the average national asking price was £359,748. Fast forward six months, and that figure has risen to £373,709, even after this month’s notable 1.2 per cent dip (a £4,531 reduction compared to June). So, despite the seasonal price drop this July, prices are still up by nearly £14,000 compared to the start of the year. 

However, the real story is not in the price tag. It is in the behaviour. 

At the start of the year, we were seeing a return of buyers, many waiting for clearer signals on inflation and interest rates. Sellers, meanwhile, were still finding their footing, testing the market, often holding firm on price, hoping optimism alone would seal the deal. 

Now, in July, realism has entered the picture. 

There are more homes on the market than we have seen in over a decade, and that level of supply is giving buyers more power and giving sellers more motivation. As competition increases, pricing strategies are becoming sharper. Sellers are adjusting not because the market is falling apart, but because pricing accurately is the only way to stay ahead in a crowded space. 

In January, affordability was still a sticking point. Mortgage rates hovered stubbornly around 5.5 per cent, and many would-be buyers were sitting on the side lines, constrained by affordability and unsure when to act. 

Now, six months on, things are improving on that front. According to Rightmove’s latest figures, the average two-year fixed mortgage rate is now 4.53 per cent, down from 5.34 per cent this time last year and significantly below the highs we saw throughout 2023. That drop could save a typical buyer nearly £150 per month, which adds up quickly when confidence and budgets are tight. 

At the same time, average wages have continued to grow faster than house prices and inflation, meaning buyer affordability (long a challenge in the market) is slowly and steadily improving. 

In practical terms, that is showing up in behaviour: 

  • Sales agreed are up 5 per cent year on year 

  • Buyer enquiries are up 6 per cent compared to this time last year 

In January, those metrics were flatter, with activity rising but still tentative. Now, we are seeing buyers return not just to browse, but to buy. 

Let us take a closer look at the key points for the North West: 

North West 

  • Average sale price (ONS, May 2025): £209,000, up 3.3 per cent on May 2024, slightly below the Cheshire West & Chester uplift but ahead of overall UK growth (3.1 per cent) 

  • July’s asking‑price movement (Rightmove national analysis): the North West saw a modest fall, broadly in line with the national July drop of 1.2 per cent, as sellers across the region recalibrated to match abundant supply 

  • Buyer enquiry remains strong: enquiries in the North West are up around 6 per cent year‑on‑year, helping to sustain transaction volumes despite price adjustments 

 

Rightmove has responded to these trends by revising its house price forecast for 2025, dropping it from 4 per cent growth to 2 per cent. This reflects the current landscape: seller competition is high, and price growth is being moderated by supply rather than lack of demand. 

Still, transaction levels remain strong. The forecast for this year remains at 1.15 million completions, which is in line with historical norms. We are not looking at a freeze, but rather at a fluid and adaptive market that is slowly tilting back in favour of the buyer without showing signs of instability. 

Comparing January’s market to July’s shows a clear trajectory. The market has moved from tentative recovery to active recalibration. Prices have risen (marginally) since the start of the year, but the current dip signals sellers becoming more agile and realistic as competition intensifies. 

For buyers, improved affordability and wider choice make this a smart moment to act. For sellers, the message is clear: a well-presented, correctly priced home still performs well, but overpricing is no longer forgiven. 

As always, we are here to help you navigate it all, whether you are stepping into the market for the first time, moving up the ladder, or simply exploring your options. 

*sources - Rightmove

lesley scott