This month’s Halifax House Price Index reveals a softening in the market, especially in light of ongoing economic uncertainty. But this is against a strong background of resilience and solid ground.

After the strong momentum seen in Q1, the May data paints a picture of a housing market easing into a steadier rhythm. The early 2025 surge - driven by the rush to beat the stamp duty deadline - has faded, and buyer demand has softened in response. That said, house prices remain in positive territory, up 3.2% year-on-year, reflecting continued confidence in bricks and mortar as a secure investment. Overall, May’s figures suggest the market is settling - not stalling - despite global economic jitters and cautious consumer sentiment.

Here we look at the housing market data on a national and Kent level.

The Headline Stats and Facts

• Average selling price: £297,781. This represents a +0.3% monthly change.
• Property price increases: Annual rate of growth is +3.2%, up slightly on the last two months (+2.8% and +2.9% respectively).   
• Interest rates: 4.5% (steady since 6^th February).
• Inflation: Close to the target 2% at 2.6%, edging down slightly over the last few months.
• RICS net balance score: As expected, RICS data shows the market swinging back to caution after the early buoyancy caused by the rush to complete before stamp duty changes. New buyer enquiries dropped to a net balance reading of -32%, from -16% with agreed sales at -16%, from -13%. However, showing resilience is a characteristic of the British housing market, new instructions returned a net balance of +6% (from +11%). This is lowest reading since July 2024, but it is in positive territory.   

Kent-Specific Stats

• Average time on market: Properties in Kent currently spend an average of 168 days on the market, up +8% on this time last year.
• Number of properties for sale: The number of properties for sale is up +18% on this time last year, with 23,220 properties for sale.
• Average selling price in Kent: £425,831 (rising marginally on April’s average of £423,735 and March’s average of £420,408.  

What Does This Mean?

The May Halifax House Price Index suggests a measured cooling of the housing market following the flurry of activity earlier this year. The modest +0.3% monthly increase in average house prices, paired with a steady interest rate of 4.5%, signals that the market is shifting towards a more stable phase.

With inflation edging closer to the 2% target, broader economic conditions remain cautiously optimistic. However, the marked drop in new buyer enquiries and agreed sales, as highlighted in the latest RICS data, reflects a growing sense of hesitancy among buyers. This is understandable in the context of recent global developments, including the imposition of US tariffs and fears of a potential global downturn. While the market is not showing signs of distress, it is treading carefully. Going forward, we are likely to see a more subdued pace of growth as households weigh economic uncertainty against long-term investment in property.

What About Kent?

The Kent market is mirroring national trends in many respects, yet continues to show signs of underlying strength. The average house price in the county has climbed again this month to £425,831, up from £423,735 in April. The 8% year-on-year increase in time on market reflects buyer caution, but it’s balanced by an 18% rise in available stock compared to the same time last year. This signals renewed confidence from sellers, who are continuing to list properties despite broader concerns.

The county’s upward price movement - contrasting with more modest national gains - points to healthy underlying demand, especially in sought-after areas and for well-presented homes. Kent remains a relatively active market with encouraging indicators for those looking to buy or sell.

Current data shows that it is a good time for both buyers and sellers in Kent.

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