The market has delivered its strongest performance in over three years, with May the busiest month for agreed property sales since 2021, according to Colleen Babcock (pictured), property expert at Rightmove.

Rightmove’s data shows May was not only the busiest for agreed sales since 2021, but also had the largest number of agreed sales for any month since March 2022.

This comes despite some significant headwinds, including the ending of the Stamp Duty holiday and the economic uncertainty unleashed by Trump’s trade tariffs, which have raised concerns about both inflation and the future path of interest rates.

Sales agreed

The number of sales agreed is now 6% ahead of the same period last year, but there are some stark regional variations. Wales leads the pack with 15% more sales agreed than this time last year, but London is significantly behind at just 1% growth.

The area Heywood in Greater Manchester is May’s sales hotspot, with buyers agreeing deals at nearly double last year’s rate (+88%). Pudsey in West Yorkshire takes second place with an 85% increase, followed by Wilmslow in Cheshire at 66%.

Falling mortgage rates

The improvement, Rightmove says, has been underpinned by mortgage rates falling from their July 2023 peak of 6.11% to the current average five-year fixed rate of 4.61%, providing buyers with greater affordability, although rates are still some way above their historic lows.

Many buyers are continuing to look for value, which is likely reflected in the lower-than-average prices.

What the data reveals is a clear trend for buyers seeking value, prioritising affordability over location. Nine out of the top ten sales hotspots are outside London in areas where average price tags are below the current national average.

Babcock says: “This month’s hotspots reflect broader market trends driven by affordability and attractive property prices. With mortgage rates higher than the lows we saw post financial crisis, and affordability stretched, many buyers are continuing to look for value, which is likely reflected in the lower-than-average prices of some of the current hotspots.”

She adds: “With the overall number of sellers continuing to run at a decade-high, sellers need to also be mindful of the competition they might face from other sellers trying to secure a buyer in their area. Working with a local agent to price realistically and competitively for that market, rather than pricing too high, is one way to increase the likelihood of a successful sale.”

Overall confidence

Nathan Emerson, CEO of Propertymark, says: “With house prices adjusting, mortgage products improving, and overall confidence from buyers and sellers on the up, this is evidently creating the perfect combination and propelling the housing market forward.

“Alongside this, the country’s increasing population and rise in the number of people looking to buy a home are playing a key part in this growing trend.”