2025 has got off to a strong start, with a record number of early-bird new sellers coming to the market since Boxing Day according to Rightmove, while Zoopla is reporting that buyer demand is 13% higher than a year ago. Read about these trends and our own insights into the West Wales property market in this month’s House Price Index report.

In Brief

Nationally the market has seen – 

• The average price of property coming to market rose by 1.7% (+£5,992) this month to £366,189, the largest jump in prices at the start of the year since 2020¹.
• New seller asking prices are still nearly £9,000 below May 2024’s record, reflecting buyer affordability constraints¹.
• A record number of early-bird new sellers have come to the market since Boxing Day¹.
• The number of new properties coming to the market is 11% ahead of the same start-of-the-year period last year¹.
• The number of buyers contacting agents about properties for sale since Boxing Day is 9% ahead of last year, and the number of sales being agreed over the same period is up by 11%¹.
• Despite this, Rightmove says there are still uncertainties ahead, including the impact of the stamp duty deadline on 31st March¹.
• Zoopla says that buyer demand is 13% higher than a year ago, with 10% more homes for sale and 12% more sales agreed².
• It says that the removal of stamp duty relief from April has boosted first-time buyer demand in the price bands where there will be the steepest tax increases ².
• 22% of renters are looking to become first-time buyers, while 17% of homeowners are now looking to move ².
• UK house price inflation is running at +2.0% versus -0.9% last year ².

In terms of the Welsh property market –

• The average house price in Wales is now £262,280, up 1.5% over the last month and up 3.3% year on year¹.
• The average number of days for a Welsh property to be on the market before a sale is agreed has increased to 82¹.

¹Source – Rightmove

²Source – Zoopla

National Overview

With Rightmove and Zoopla – two of the biggest names in the property market – both highlighting positivity in the market, here we give you an overview of what the two influential companies are saying.

Rightmove says that the average property price has risen by 1.7% this month (+£5,992) to £366,189, which is the largest monthly increase at the start of the year since 2020. Despite this, the average asking price is still £8,942 below May 2024’s peak, which it says reflects the affordability constraints facing buyers.

The number of new properties coming to the market is 11% ahead of the same period last year, with a record number of new sellers coming to market from Boxing Day and into the start of 2025 – underlining a pent up demand to move.

The high level of choice for buyers has increased buyer enquiries and sales agreed compared to a year ago. However, for sellers it means fierce competition to stand out and attract buyers – competitive and realistic pricing is still key for a quick sale. 

Zoopla reports that property prices are now at +2% inflation compared to a year ago and the average UK house price is set to rise by 2.5% by the end of the year. It says that the momentum in market activity from 2024 has continued into 2025, despite concerns over mortgage rates and the economic outlook.

It reported that the number of homes for sale is 10% higher than this time last year, with buyer demand 13% higher than this time last year – and 26% higher than at the start of 2023. Sales agreed are up 12% as some buyers look to beat the changes in Stamp Duty that come in at the end of March.

Zoopla also highlights the impact of the Stamp Duty changes on First Time Buyers. It says the March deadline resulted in First Time Buyer demand increasing by over a third in November and December 2024 in the price bands where stamp duty for First Time Buyers will increase the most – between £300,000 and £625,000. But, it says, buyer demand increased more slowly for homes below £300,000, where First Time Buyers will continue to pay no stamp duty, and for homes over £625,000, where there remains no tax relief for First Time Buyers. 

Regional Insight from Cardigan Bay Properties

We specialise in the property market in West Wales and monitor developments here throughout the year to give you the best, most accurate advice. We cover the key regions of Ceredigion, Carmarthenshire and Pembrokeshire, and this month one of our founders – Helen Worrall – outlines the key trends we’ve seen through January 2025. If you’d like to find out more please get in touch. 

2025 has got off to a very positive start. Property viewings through January were up 26% on January 2024 figures, proving that despite the wintery weather buyers are still out in force and keen to buy.

Sales performed well too – up 33% compared to the same time in 2024. This has been boosted by the lower interest rates, which have helped first time buyers return to the market and get housing chains moving. We know that some people viewed properties last year, but were waiting for offers on their own houses to put them in a position to offer to buy. This is now happening across the board, which provides a great boost to the market. 

The Stamp Duty change in England is also likely to have an impact on this, with first time buyers trying to beat the deadline by getting sales across the line before 1 April 2025.

We also saw that valuation requests were up by 52% in January. This could be due to the increases in second home council tax that are coming in – many homeowners are just receiving their April 25/26 bills and are seeing a big increase. But as a company we are also growing and building our reputation, with many word of mouth referrals coming in, ensuring that we are providing more valuations than ever.

In summary, it is a very strong start to the year. It is a buyers market. House prices have remained level, with no real increases in our areas. Sellers looking for a quick sale are pricing competitively and ensuring the quality of their property is good. Buyers have a wide range of homes to choose from, and are being more ruthless in their offers. Overall the balance is good and the market is performing well.

Your Regional Insights

Here we give you an overview of the latest House Price Index results for our key regions – Ceredigion, Pembrokeshire and Carmarthenshire. Please note, that each month these figures are two to three months behind due to the Land Registry taking longer to register new sales, so this report includes sales up to the end of November 2024.

To help you follow the trends for these regions, the graphs below show figures from July 2019 (pre-Covid pandemic) to November 2024.

CEREDIGION

In November 2024 the average property price in Ceredigion increased again to £252,025 (up from £251,008 in October 2024). This increase was reflected across all property types, with detached properties increasing to £317,544 (up from £316,506); semi-detached properties increasing to £212,935 (from £211,933); terraced properties increasing to £188,772 (from £188,084) and flats increasing to £124,034 (from £122,539).

In terms of the percentage yearly change in the region the average property is down 0.9%, but this is driven by detached properties, which dropped 2.4%. Semi-detached property prices increased by 0.1%, terraced properties increased by 0.8% and prices for flats remained static.

Finally, the monthly price change for November 2024 saw a 0.4% increase, with flats performing best – prices increased by 1.2%.

View the full Ceredigion report.

PEMBROKESHIRE

In Pembrokeshire November 2024 saw a fall in the average property price, following several months of increases. All property types experienced a drop, with detached properties falling from £322,157 in October 2024 to £318,355 this month. Semi-detached properties fell from £210,478 to £208,531; terraced properties fell from £180,643 to £178,774; and flats fell from £119,635 to £118,948.

The drop is also seen in the percentage yearly change, which fell by an average of 2.2%. The biggest drop was seen by detached properties – down 3.7%, followed by flats which fell by  2.8%. Both semi-detached properties and terraced homes fell by 0.9%. The monthly percentage change also shows a slight drop – this month down 1%.

View the full Pembrokeshire report.

CARMARTHENSHIRE

November 2024 saw a strong increase in the average property price in Carmarthenshire – up from £206,657 in October to £211,722. The increase is reflected across the different property types – detached properties increased to £280,139 (from £274,049); semi-detached properties increased to £187,932 (from £183,037); terraced properties increased to £155,744 (from £152,078); and flats increased to £125,858 (from £122,157).

The yearly percentage change has also increased by 6.2%, with the biggest increases seen for terraced properties (up 7.5%) and semi-detached properties(up 7.1%), followed by flats (up 5.9%) and detached properties (up 4.3%).

The monthly percentage change was also up 2.5% overall, with flats up 3%, semi-detached properties up 2.7%, terraced properties up 2.4% and detached properties up 2.2%.

View the full Carmarthenshire report.

CURRENT UK HOUSE PRICE INDEX

* As of November 2024, the average house price in the UK is £289,707, and the index stands at 151.9.Property prices have fallen by 0.4% compared to the previous month, and risen by 3.3% compared to the previous year.

*Details provided by the Land Registry. For more information on the House Price Index please CLICK HERE

Please note that the stats provided by the UK House Price Index are live and constantly evolving.