UK house asking prices fell by 1.8 per cent in November to £364,833, the biggest November drop since 2012, as uncertainty over the Budget froze buyers and a record number of homes sat on the market. The fall, worth £6,589 on the average asking price, is well above the 1.1 per cent average November decline of the past ten years.

The figures, from property website Rightmove, show the usual pre-Christmas slowdown arriving early. Sellers who are keen to move are cutting prices more aggressively to attract buyers, while many would-be buyers wait to see how the Budget on 26 November will affect their finances.

A buyers’ market

More than a third of homes currently listed for sale, 34 per cent, have had their asking price reduced, with an average cut of 7 per cent. Both figures are the highest since February 2024. The decade-high number of homes available continues to put downwards pressure on prices, and average asking prices are now 0.5 per cent, or £1,759, cheaper than a year ago.

Rightmove’s property expert Colleen Babcock said the Budget was “a big distraction” that was later in the year than usual, with many buyers waiting to see how their finances would be affected. She added that the usual Christmas lull appeared to have arrived early, and sellers keen to move were having to work especially hard to entice buyers with competitive pricing.

The top of the market feels it most

The slowdown is sharpest at the upper end, where speculation about property tax changes is heaviest. Sales agreed for homes priced over £2 million, which could face a rumoured mansion tax, are down 13 per cent year on year, and the number of new sellers coming to market in that price bracket is down 9 per cent.

Homes priced between £500,000 and £2 million, which could be affected by rumoured stamp duty changes in England and by possible capital gains tax on homes sold for over £1.5 million, have seen sales agreed fall 8 per cent. Properties under £500,000, which make up about 75 per cent of the market, have proved more resilient, with sales agreed down only 4 per cent. Across the whole market, sales agreed are down 5 per cent on a year ago, although for the year to date they remain 4 per cent higher than in the same period of 2024.

Mortgages and the Budget

There is some support for buyers on the cost of borrowing. The average two-year fixed mortgage rate is currently 4.41 per cent, down from 5.06 per cent at this time last year, although rates have fallen more slowly during 2025 than many predicted. The Bank of England held the Bank Rate in November, and Rightmove said there was still a good chance of a cut in December, which would be welcome news for movers.

It is worth remembering that Rightmove’s figures track asking prices, not the prices homes actually sell for, so they show what sellers hope to achieve rather than completed deals. Even so, the combination of record supply, widespread price cuts and a Budget that buyers are waiting on points to a subdued end to the year, with activity likely to pick up only once the tax picture is clear.

[Source: Financial Reporter](https://www.financialreporter.co.uk/house-prices-see-largest-november-fall-in-13-years-as-budget-speculation-fuels-uncertainty-rightmove.html) | [Source: Property Reporter](https://www.propertyreporter.co.uk/budget-uncertainty-fuels-biggest-november-house-price-fall-in-13-years-rightmove.html)