For property investors, understanding the UK housing market requires analysing multiple price indexes, each with distinct methodologies. As April 2025 concludes, we examine the latest data from Rightmove, Halifax, ONS, and Nationwide to provide you with an actionable market overview.
April 2025 (latest data) key points:
- Average asking price: £377,182 (up 1.4% month-on-month)
- Annual growth: +1.3%
- New seller listings volume: up 4% year-on-year
- Number of homes for sale at a decade-high level
What this index tells us about the UK housing market:
The robust growth in asking prices despite increased supply suggest market confidence and sustained buyer demand. The early-indicator nature of this index often signal market direction before transaction based-indexes reflect actual performance.
Regional performance varies significantly, with the Midlands, Northern regions, Wales, and Scotland outperforming the national average, while London shows weaker buyer demand despite reaching new price records.
As an early market indicator, the record-high asking prices suggest continued seller optimism, but the increasing gap between asking and transaction prices in other indexes points to potential market correction.
2) Halifax: Transaction price moderation
Halifax's methodology: Based on mortgage approvals from one of the UK's largest lenders, reflecting actual agreed transaction prices rather than asking prices.
March 2025 (latest data) key points:
- Average property price: £296,699 (down 0.6% month-on-month)
- Annual growth rate: +2.9%
What this index tells us about the UK housing market:
As a transaction-based index, Halifax data provides a more concrete indicator of actual market values than asking prices.
The monthly decline suggests buyer price sensitivity is increasing despite sustained annual growth. Halifax attributes this to normalising demand following the pre-stamp duty change transaction rush. Higher borrowing costs continue to challenge potential buyers.
3) ONS: Comprehensive transaction data
ONS methodology: Uses data from HM Land Registry, Registers of Scotland, and Land & Property Services Northern Ireland to track final transaction prices across all residential property sales, not just those with mortgages.
February 2025 (latest data) key points:
- Average property price: £268,319 (down 0.1% month-on-month)
- Annual growth rate: +5.4%
- Top performing region: North West (8.0% annual growth)
- Lowest growth: London (1.7% annual growth)
What this index tells us about the UK housing market:
While published with a greater time lag than other indices, ONS data provides the most comprehensive and authoritative view of the market, capturing cash purchases and the full spectrum of transaction types. The strong annual growth rate and marked regional variations highlight investment opportunities beyond traditional hotspots.
The significant regional differences in annual house price growth highlight the importance of targeted investment strategies. Northern regions are delivering returns more than four times higher than London, suggesting opportunities for portfolio diversification.
4) Nationwide: Stable growth
Nationwide methodology: Uses data from HM Land Registry, Registers of Scotland, and Land & Property Services Northern Ireland to track final transaction prices across all residential property sales, not just those with mortgages.
April 2025 (latest data) key points:
- Average price: £270,752 (down 0.2% month-on-month)
- Annual growth rate: +3.4%
- Regional standout: Northern Ireland (13.5% annual price growth in Q1 2025)
What this index tells us about the UK housing market:
As another transaction-based index, Nationwide's data reinforces market trends seen in other indices.
The slight monthly decline after several months of growth suggests a potential plateau in market prices. The dramatic outperformance of Northern Ireland highlights again how regional markets can operate independently of national trends.
In their commentary, Nationwide points to supportive conditions for homebuyers including low unemployment and rising real wages, while noting increasing price sensitivity among buyers.
The steady monthly performance with stable annual growth suggests the market may be stable at current price levels. For investors, this plateau levelling-off often presents opportunities to acquire assets below peak values before the next growth cycle.
Investment implications
The April 2025 data reveals a market in transition. While asking prices continue to rise, reflecting seller confidence, transaction-based indexes suggest moderation.
Key factors to monitor:
- The widening gap between asking prices and transaction prices
- Continued regional divergence, with stronger growth outside London and the South East
- The impact of changing lending criteria on buyer purchasing power
- Whether increased supply will eventually dampen price growth
The divergence between different index methodologies underscores the importance of understanding what each measure represents when timing market entry and exit points.
