October 2025 Property Market Update

The UK housing market continues to show resilience despite mixed conditions, with encouraging signs of increased mortgage activity and improving affordability, balanced by a cautious tone ahead of the upcoming Budget.

Recent research from the HomeOwners Alliance reveals that almost 40% of buyers successfully negotiated below the asking price, most commonly securing up to a 5% discount. A similar proportion paid full price, while 10% paid above asking, usually through best-and-final offers. First-time buyers were less likely to negotiate, with only 35% paying below asking compared with 42% of existing homeowners.

For sellers, this highlights the importance of setting a realistic asking price from the outset. Overpricing can deter buyers and lead to delays or reductions later down the line.

In a positive sign for market confidence, mortgage approvals rose to 65,900 in September, up by 1,000 from the previous month, according to the Bank of England.

Net mortgage borrowing also climbed by £1.2 billion to £5.5 billion, the highest level since March. While there’s still a sense of caution among buyers due to uncertainty around the upcoming Budget, these figures suggest that underlying demand remains strong.

Property prices are moving at different speeds across the UK. Overall, price growth remains modest and below inflation in most regions. meaning values are largely steady rather than surging. That said, affordability is improving. Wages have been rising faster than inflation, mortgage stress tests have eased, and prices remain below 2022 levels in more than half of major UK cities, all of which should help support demand into 2026.

In Summary

• Mortgage approvals up to their highest level since spring.

• Nearly 40% of buyers are negotiating below asking price.

• Affordability improving thanks to rising wages and steadier prices.

While some buyers are holding off until after the Budget, underlying demand remains healthy and realistically priced, well-presented homes are still selling successfully.

For more information about the Nottingham property market or to learn more about Comfort Estates, please get in touch with us!