MHHG estate agents

The Manchester property market continues to show strong resilience this autumn, even as national market activity begins to plateau. Across the UK, estate agents are now listing around 20% more homes for sale than two years ago, and 8% more than last autumn. This increased supply reflects renewed confidence from both buyers and sellers, driven by stable mortgage rates and realistic pricing strategies.

However, speculation surrounding potential tax changes in the upcoming Autumn Budget has caused hesitation at the top end of the market. While this has slowed activity in the £500k+ bracket, the mainstream and affordable segments—which make up the majority of the Manchester market—remain robust and in line with last year’s demand levels.

Key Manchester Market Snapshot

Area Avg. House Price YoY Price Growth 3-Year Price Growth Avg. Days on Market

M18 (Manchester) £225,200 +2.2% +6.1% 28 days

National Average £271,000 +1.4% +2.2% 36 days

Manchester’s affordability continues to be one of its biggest strengths. With average prices well below the national average, local homeowners and investors are seeing faster sales and stronger year-on-year price growth than many southern regions. Homes in M18 currently spend just 28 days on the market, highlighting steady buyer demand and healthy competition among purchasers.

Premium Market Slows Amid Tax Speculation

Rumours about upcoming changes to property taxation have prompted wealthier buyers to pause. Proposals circulating in the media—such as replacing stamp duty with an annual property tax on homes above £500,000 or revaluing council tax bands—have unsettled parts of the market.

As a result:

• Buyer demand for £1m+ homes is down 11% year-on-year
• New listings above £500k are down 7%

While London and the South East are most affected, this caution is beginning to ripple into other regions. That said, Manchester’s mid-market segment—typically priced between £200k and £400k—remains largely insulated, with demand steady and transactions continuing at a healthy pace.

Regional Divide Widens: North Leading Growth

Across the UK, house prices have risen 1.4% year-on-year, equivalent to a £4,350 increase, bringing the average price to £271,000.
The North West continues to outperform, with 3.1% annual growth, outpacing southern regions where growth has slowed to under 0.5%.
This widening north/south divide reflects the stronger affordability and continued buyer interest in northern cities like Manchester, Liverpool, and Oldham—areas where price points remain accessible to both first-time buyers and investors.

Affordable Areas Driving Market Resilience

Nationally, there’s a clear trend: the more affordable the area, the faster the growth.
Markets with average property values below £200,000 are seeing price rises of up to 2.8%, while premium areas over £500,000 are seeing flat or even declining growth.
Some of the strongest-performing postal areas include:

• Oldham(OL) – up over 4%
• Motherwell (ML) and Kirkcaldy (KY)– showing similar gains

For Manchester agents and sellers, this reinforces the advantage of being in a high-demand yet affordable region. Strategic pricing and realistic valuations are key to maintaining momentum as buyers remain active in this price bracket.

Mortgage Stability Underpins Buyer Confidence

Mortgage rates have stabilised between 4% and 5% for most five-year fixed deals, a major improvement from the volatility seen in 2022–2023.
This stability, combined with updated affordability criteria, means that buyers today can borrow up to 20% more than they could six months ago on the same income and rate—significantly boosting purchasing power.
This has supported sustained demand, particularly among first-time buyers and those purchasing in Manchester’s sub-£300k range, where monthly repayments remain manageable.

Final Thoughts

The Manchester property market enters autumn 2025 in a position of relative strength.
While the national conversation around tax reform has slowed premium transactions, Manchester’s affordability, stable mortgage environment, and consistent buyer demand continue to support growth.

For sellers, strategic pricing will be key. For buyers, the current market offers both stability and value—especially in areas like M18, where properties continue to sell quickly and prices are rising faster than the national average.

If you’re considering a move this season, now may be the ideal time to act before the market pauses ahead of the Budget.