Sussex Property News: House Prices Firm Up as Mortgage Approvals Slow

The start of July brought a mixed set of figures for the housing market. Annual price growth ticked up on one measure, asking prices fell more than usual for the time of year, and fewer buyers had a mortgage approved. Here is what the latest numbers mean for anyone planning a Sussex move.

Nationwide reports annual house price growth back up to 2.2%

Nationwide's June House Price Index, published on 1 July, showed annual house price growth picking up to 2.2%, from 1.7% in May, taking the average price to £278,784. The monthly change was flat at 0%. Chief economist Robert Gardner said the market had softened a little in recent months given the uncertainty caused by developments in the Middle East and the subsequent rise in energy prices and market interest rates. All regions recorded positive annual growth, though the outer South East, which covers much of Sussex, was among the weakest at around 0.1%. Source: Nationwide.

Rightmove records the biggest June asking-price drop in 14 years

Asking prices for newly listed homes fell 0.6% in June, a drop of £2,113 that took the national average to £376,191, according to Rightmove. It was the largest June fall in 14 years, leaving asking prices 0.5% below a year ago. June usually sees a small rise, so the decline points to sellers trimming expectations to attract summer buyers at a time when the number of homes on the market is unusually high. For Sussex sellers, the message is to price to today's market rather than to last year's peak. Source: Rightmove.

Mortgage approvals fall to their lowest since 2023

Bank of England Money and Credit data released on 29 June showed mortgage approvals for house purchases dropping to 56,205 in May, down from 66,034 in April and their lowest level since December 2023. Net mortgage borrowing eased to £2.9 billion from £4.4 billion the month before. Weaker approvals point to more cautious buyers, which tends to hand more negotiating room to those who are ready to proceed. Source: Bank of England.

What it means in Sussex

Taken together, the figures describe a steady but cautious market rather than a falling one. Sussex is a higher-value area, so softer demand and keener asking prices give buyers more room to negotiate than a year ago, while well-placed homes near good schools and stations continue to hold their value. If you are selling, realistic pricing matters more than ever when so many homes are competing for a smaller pool of buyers.

Plan the move, not the market

Budget for the full cost of moving before you commit. Work out your stamp duty up front and factor in conveyancing, surveys and removals. Our stamp duty calculator and guide to the cost of moving house in Sussex can help you plan.