Press Round Up June 2025

Tue 29 Jul 2025

Mortgage lending fell in April, according to the Bank of England, amid fears that stubborn inflation will mean interest rates stay higher for longer. Jeremy Leaf, principal of Jeremy Leaf & Co, told City AM that he doesn’t expect much change going forward. “Most seem to accept that base rate is unlikely to fall as far and as fast as anticipated."

Meanwhile, in May, house prices fell by more than expected, according to Halifax, with the average price falling 0.4 per cent month on month. Jeremy Leaf told The Guardian: “The significant number of purchases brought forward to take advantage of the stamp duty holiday ending in March is still having a negative impact on activity now. Most of the stock made available at that time, if not sold or under offer, is still available so the inevitable result is a softening in prices. However, sales are still proceeding where buyers and sellers are most realistic."

The Spending Review sets out the Government’s spending plans for the next few years and there was much speculation as to what it might have in store for the housing market. Jeremy Leaf told The Standard: “Most people, including politicians, accept that we are in the midst of a housing crisis, so we hope that the Chancellor addresses this, particularly the continuing shortage of social and affordable housing for sale and rent in areas of high demand. We have heard many encouraging words since the change of government but change on the ground is not happening fast enough. Uncertainty is the enemy of investment and the cost of doing nothing is far higher."

Buyers who don’t spot red flags when buying a property could end up spending a serious amount of money on repairs. Jeremy Leaf told The Sun that buyers should go into a purchase with their “eyes open”: “When you’re buying a house, it’s a big commitment and you’re going to get some nasty surprises. People can go to great lengths to obscure defects in properties if they want to."

The average asking price of a property fell by 1.2 per cent in July, according to Rightmove. Jeremy Leaf told Forbes: “Sales are still being agreed but nearly always with sellers who have recognised the importance of setting a realistic initial figure to differentiate themselves from so much other, often similar, property. Otherwise, buyers will take even more time waiting for the ‘right’ property and perhaps worrying about the possibility of autumn tax rises despite improving affordability – including the likelihood of imminent mortgage rate cuts."

Average UK rents rose to £1,339 per month in May, according to the Office for National Statistics, some 7 per cent higher than 12 months ago. Jeremy Leaf told The Daily Mail: “that rent rises “are supported by lack of stock and urgent need for accommodation from tenants who are finding lack of choice hard to deal with”.