Annual house price inflation rises

The average house price for Scotland was £192,000 in May 2025, up 6.4% from a year earlier (6.2% higher than the 12 months to April 2025), with Northern Ireland up 9.5% to £185,000 in Quarter 1 2025, up 9.5% from Quarter 1 2024

House price data from the Office for National Statistics (ONS) shows a rise in annual house price inflation following an April slow-down, with an increase of 3.9% in the 12 months to May 2025 taking the average UK property price to £269,000.

Prices were up in all regions: the average price in England was £290,000 in May 2025, up 3.4% from a year earlier and 3.1% higher than the 12 months to April. In Wales, the average price was £210,000 in May, up 5.1% from a year earlier and 4.5% higher than the 12 months to April 2025 (4.5%).

The average house price for Scotland was £192,000 in May 2025, up 6.4% from a year earlier (6.2% higher than the 12 months to April 2025), with Northern Ireland up 9.5% to £185,000 in Quarter 1 2025, up 9.5% from Quarter 1 2024.

Inflation remains highest in the North East at 6.3% (up from 6.2% in the 12 months to April) and lowest in the South West at 1.9% (up from 0.7% in April). London’s house price annual inflation rate was lower in May 2025 (2.2%) than in April 2025 (4.6%).

Richard Donnell, executive director of research at Zoopla, said that while stamp duty changes continue to have an impact on the market, the price increase is a positive sign.

The rate of house price inflation recorded by the ONS continues to pick up the impact of the stamp duty holiday, while other measures record the rate of price growth slowing more quickly, he said.

He said: Lower, single digit house price inflation is positive for the market as there is just enough price growth to encourage sellers to list their homes and buyers to make offers on property without the fear that prices may fall or suddenly surge higher. We expect price inflation to remain low as there are the most homes for sale in seven years, averaging 37 per estate agent.

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