Homes for Sale Just Hit a 12-Year High and Buyers Have the Upper Hand

More homes are up for sale across the UK than at any point in twelve years, and for once the balance of power sits with the buyer.

Key Takeaways

• 12-Year Supply High: More homes are on the market than at any point in over a decade, tilting negotiating power firmly towards buyers.
• Prices Nudge Up: September asking prices rose 0.7% to £367,440, the first monthly rise since May, though still 0.8% below a year ago.
• The North Sells: 71% of North West homes are finding a buyer, against just 42% in London, resilience where Rothmore invests.
• Rates Bite: The average two-year fix has climbed to 5.29%, so realistic pricing and strong fundamentals matter more than ever.

Record choice, quieter demand

The gap between sellers and buyers is the story. According to Rightmove's September House Price Index, average asking prices rose 0.7% to £367,440, the first monthly rise since May, yet they remain 0.8% below this time last year and 2.3% down on the start of summer. The reason sits on the supply side: the number of homes for sale is at a 12-year high for the time of year, while buyer demand runs 9% lower than a year ago.

For investors, that unusual mix (more stock, fewer competing buyers) translates into three practical advantages: more choice to compare, more room to negotiate, and less pressure to rush a decision.

Quick FAQ:

Q: If prices are rising, why is this a buyer's market?

A: Because supply is running far ahead of demand. Buyer enquiries are 9% lower than a year ago while stock sits at a 12-year high, so sellers compete for a smaller pool of buyers, and that keeps pricing keen.

Where homes are actually selling

Record national choice doesn't mean every region behaves the same. Rightmove's data on how many listed homes are finding a buyer shows a stark north–south split.

The North West, Rothmore's core market, is converting listings into sales at a far healthier rate than the pricier, more affordability-stretched South. Where London sees fewer than half of homes find a buyer, the North West clears more than seven in ten. Northern regions such as Yorkshire & the Humber (asking prices up 1.3% this month) and the West Midlands (up 1.5% year-on-year) tell the same story: demand holds up best where prices are most affordable relative to incomes.

Quick FAQ:

Q: Does a buyer's market weaken the case for the North West?

A: The opposite. Buyers gain negotiating room everywhere, but the North West still sells faster and holds value better than the South, so investors get leverage without sacrificing liquidity.

Pricing realism is doing the heavy lifting

One figure cuts through the noise: 74% of homes that sold this year were priced right first time and never needed a reduction. In a crowded market, the homes that move are the ones priced to the local reality from day one, and the same discipline applies in reverse to buyers. Sellers clinging to summer valuations are the ones now sitting unsold, which is precisely where a prepared investor finds an opening.

The affordability squeeze

The counterweight to all this choice is borrowing costs. The average two-year fixed rate has risen to 5.29%, up from 5.09% last month (Rightmove links the recent climb partly to wider geopolitical uncertainty). That keeps monthly budgets tight and is a large part of why demand has cooled.

There is a quieter signal worth noting, though: on Rightmove's figures, the typical first-time-buyer mortgage payment (around £1,199 a month) has slipped just below the equivalent rent (£1,297). When owning starts to undercut renting, the underlying demand that supports rental yields doesn't disappear; it simply waits for confidence and rates to settle.

Quick FAQ:

Q: Should investors wait for rates to fall before buying?

A: Timing rates precisely is guesswork. The stronger play is buying well now, using record choice to negotiate, so you're positioned for the autumn pick-up rather than chasing it once competition returns.

How to buy in a buyer's market

A market with this much supply rewards preparation over speed. Line up your finance early, know your numbers, and treat the current choice as a rare chance to be picky. Focus on locations where homes are still selling, the North West chief among them, and lean towards well-finished, competitively priced new-build apartments that let tenants in and rent collected without a refurbishment gap.