The headline in June was the drop in average UK asking prices. Fuelled by the decade-high availability of property and amid the clamour to try and find buyers, home sellers across the UK are reacting to what has been happening for much of the year. 

 

Average asking prices across the UK now stand at £378,240. Here in Gloucester, it is £293,560, and Gloucestershire overall stands at £407,635. 

 

It should be noted that, on average, asking prices across the year are 0.8% higher than this time last year. In June, a total of 296 property price reductions were made as sellers sought to attract buyers. 

Competitive pricing remains key and where there is a sensible approach sellers can expect to see interest and receive offers. 

 

The volume of sales across the UK recently saw its highest numbers since March 2022 so there is much to be encouraged by and here in Gloucester the average time taken to find a buyer has reduced to 46 days making it the 5th fastest of UK’s largest 50 cities. 

There remains a significant amount of property available for sale, and this figure is approximately 11% higher than at this time last year across the UK. 

 

At the end of June, there were just over 1000 properties currently unsold across GL1, 2, 3 and 4, with three of the city’s agents responsible for over a third of this number. 

 

598 properties had been on the market for over 8 weeks, and 461 of those had been on the market for at least 12 weeks. 

At the time of writing (9th July 2025), the average two-year fixed rate mortgage stood at 4.55% whilst the five-year fixed rate was 4.53%. The lowest two-year fixed is 3.69% with the lowest five-year fixed product being 3.87%. 

 

Monthly mortgage approvals recently increased for the first time this year according to data released by Bank of England, and was the largest increase since February 2024. 

 

The outlook for mortgage rates is benign, and recent labour market data points to a weakening economy that could unlock further base rate cuts – perhaps to 3.75% by the year end. 

Whilst there is reason to be optimistic, sellers must be realistic. Overpricing will result in your property remaining on the market for longer than you like and will almost certainly result in you eventually selling for less than you would of if a more sensible approach had been taken at the start. 

 

Be careful of agents who purposely inflate the value without any justification and then tie you to lengthy contracts so that they can get you to reduce when there is little or no activity. Market at a price you are willing to accept and choose an agent that you believe will negotiate the best price for you. 

 

For buyers, there is plenty of choice. If you are struggling to find something, then consider expanding your search a little further or a little higher. The ideal property may be slightly further away than you had previously been looking or may be a slightly higher price, but if it has been on the market for a long time, then an offer may well be considered.