The average asking price of a home coming to market fell by 1.0% (£3,832) in July as sellers adjusted their expectations in response to increased competition and greater choice for buyers, according to the latest Rightmove House Price Index.

The average asking price now stands at £372,359, down from £376,191 in June and 0.4% lower than a year earlier. Although asking prices typically ease during the summer months, Rightmove said this year's decline is significantly larger than the ten-year July average fall of 0.2%, reflecting a market where sellers need to price realistically to attract interest.

The property portal reported that the number of homes for sale remains close to a 12-year seasonal high, giving buyers more choice and increasing competition between sellers. At the same time, mortgage rates have continued to edge down, with the average two-year fixed rate falling to 4.52%, helping to improve affordability for some purchasers.

Despite the more competitive conditions, Rightmove said accurately priced homes continue to sell. Nearly three-quarters of properties that have successfully found a buyer this year have sold without requiring a reduction in their original asking price.

Colleen Babcock, property expert at Rightmove, said: “This month's larger-than-normal price fall reflects the reality of a market where buyers have plenty of choice and sellers are having to work harder to stand out and attract them.”

Rightmove said agreed sales during the first half of 2026 were 6% below the same period last year, although the market remains resilient, with improved mortgage availability expected to support activity during the second half of the year.