Halifax HPI: September sees marginal monthly dip

Tuesday morning’s Halifax House Price Index for September 2025 shows the latest index has revealed that sows that on a monthly basis, house prices fell by -0.3% between August and September 2025.

However, house prices were up 1.3% on an annual basis and the new average house price now sits at £298,184.

Amanda Bryden, Head of Mortgages, Halifax, said, “The average UK house price edged down by -0.3% (£794) in September, following a modest rise in August. The typical home now costs £298,184. Over the past 12 months prices have grown by +1.3%, the slowest annual rate since April 2024.

“This slight monthly dip in house prices reflects a housing market that has remained broadly stable, prices are up +0.3% since the start of the year.

“It’s also important to remember that prices vary widely depending on characteristics like location and property type. As a result, many homes are available at a cost well below this headline figure. For example, for those looking to take their first step on the property ladder, the typical first-time buyer home costs £236,811, up +1.7% year on year, with pockets of even greater affordability to be found across different regions.

“While affordability remains a challenge, a relatively lower mortgage rate environment and steady wage growth have helped support buyer confidence.

“Although the broader economic outlook remains uncertain, with the affordability picture gradually improving, we continue to expect modest growth through the remainder of the year.”

Guy Gittins, CEO of Foxtons, said, “Market momentum remains steady and this underlying stability is encouraging buyers and sellers back into the fold, albeit with a degree of caution ahead of November’s budget.

For those looking to sell, the key to success is a pragmatic approach to pricing in line with current market conditions, but those looking to complete their sale before Christmas need to be entering the market now with the right agent and an added sense of urgency.”

Marc von Grundherr, Director of Benham and Reeves, added, “The UK property market has weathered a year of market uncertainty and buyer indecision with house prices continuing to show positive annual growth, albeit we’ve seen a marginal month on month decline due to an air of hesitation ahead of next month’s Autumn Statement.

Of course, the homebuying process itself remains one fraught with potential delays and pitfalls and so it’s somewhat commendable to see Labour finally pledge to fix it. However, the Government has long known the struggles facing both buyers and sellers and so their renewed claim to act feels more like political point-scoring than meaningful reform.

In reality, these proposals are unlikely to materialise anytime soon, and the mere suggestion of change could actually cause the market to stall in the short term, as buyers hold out for greater certainty and protection that simply isn’t on the immediate horizon.”