MHHG estate agents

Manchester continues to be one of the UK’s most dynamic housing markets, offering opportunities for both buyers and investors. Below, we present an overview of the latest trends shaping the market in July 2025.

National Market Overview

The UK housing market has shown remarkable resilience this summer, with activity levels surpassing expectations despite the usual seasonal slowdown.

• Agreed sales: Up 8% year-on-year, reflecting growing buyer confidence.
• Buyer demand: 11% higher than last year, supported by improved borrowing conditions.
• Stock levels: A record number of homes for sale, creating greater choice for buyers but also intensifying competition.
• Mortgage affordability: Buyers can now access up to 20% more borrowing power compared to three months ago, widening the pool of potential purchasers.

UK house prices have risen 1.3% annually, now averaging £268,400 (June 2025). However, this growth remains modest due to the high number of homes on the market, creating a more balanced, “buyer-friendly” environment.

Property Type Trends (Annual change to June 2025)

• Flats/Maisonettes: -0.8% (£191,800 average)
• Terraced houses: +1.7% (£238,100 average)
• Semi-detached houses: +2.3% (£276,200 average)
• Detached houses: +0.8% (£450,400 average)

Northern regions, including the North West, continue to outperform southern markets, registering stronger price growth of around 2–3%. By contrast, much of the South of England is experiencing slower increases of below 1%, constrained by higher stamp duty costs and increased supply.

Manchester Property Market Snapshot

In Manchester, the property market continues to perform strongly, outpacing many regions across the UK.

• Average house price: £257,000 (May 2025, provisional), up 3.2% year-on-year.
• Greater Manchester average: £261,000, with a median of £232,000.
• Sales volumes: 12,800 transactions in the past year, down by 17.3%.
• Most active price range: £150,000 – £300,000 (over half of sales).

By Property Type:

• Detached homes: £474,000
• Semi-detached: £320,000
• Terraced: £247,000
• Flats: £212,000

Local Price Range:

• Most affordable: M50 1 (£96,600 average).
• Most expensive: M2 6 (£1.1 million average).

Despite fewer overall transactions, demand remains steady in affordable and mid-market price ranges, underpinning price stability.

Price Distribution – Manchester Sales

• £150k–£200k: 20% of sales (2,563 properties)
• £200k–£250k: 19.5% of sales (2,507 properties)
• £250k–£300k: 15.3% of sales (2,000 properties)
• £300k–£400k: 15.8% of sales (2,000 properties)
• £400k–£500k: 6% of sales (777 properties)
• Over £1M: Just 0.3% of sales (35 properties)

Key Insights for Sellers and Buyers in Manchester

1. Realistic pricing is critical – With stock levels high, overpriced properties risk being overlooked.
2. Mid-market strength – The £150k–£300k segment remains the most active, accounting for over half of all sales.
3. Borrowing boost – Increased mortgage affordability is unlocking demand from buyers who were previously stretched.
4. Regional advantage – Manchester continues to outperform many southern regions, making it attractive for both local movers and investors seeking long-term capital growth.

Looking Ahead

• The market outlook for 2025 remains positive but balanced:
• Sales volumes are expected to rise by 5% compared with 2024.
• House price growth is forecast to be steady at around +1% nationally, with stronger gains likely in the North West, including Manchester.
• Mortgage rates are expected to remain in the 4–5% range, keeping affordability in focus.

For Manchester sellers, accurate valuations and strong marketing campaigns will be essential to stand out in a competitive environment. For buyers, the wider choice of stock and increased borrowing power create excellent opportunities to secure homes at fair market value.

At MHHG Estate Agents, we are committed to helping you navigate these opportunities with expert advice and local market knowledge. If you are considering buying, selling, or investing in Manchester, now is the right time to make your move.