Mortgage rates have plateaued over the last month, with some average rates rising and others falling, as lenders hit the pause button leading up to the Budget. 

That’s the view of Rightmove, which says the steady mortgage rates have contributed to the mood of wait-and-see ahead of the Budget next month.

Matt Smith, Rightmove’s mortgage expert, says: “The cost of financing mortgages has come down again, so we’re likely to start seeing some very gradual drops in average rates soon. However, until the Budget at the end of November, we’re likely to see a very quiet market with few shifts in rates, as lenders wait to see how they may be affected by any policy announcements. 

“Average mortgage rates, particularly two-year fixed rates, are still lower than they were a year ago. Combined with flat house prices and improved lending criteria, many home-movers may find their affordability significantly improved compared with last year.”

Smith’s comments come as the portal releases its latest asking price index.

It says average new seller asking prices rise by just 0.3% (+£1,165) this month to £371,422. 

This is well short of the 10-year average October price increase of +1.1%, as the decade-high level of available property for sale continues to limit sellers’ pricing power. 

Moving activity across the month of September has seen a dip compared to the busier period of this time last year, which was fuelled by August 2024’s Bank Rate cut, and the start of some home-movers in England taking action to avoid April 2025’s stamp duty increase. 

There are also some continuing jitters about what the upcoming Budget might contain. This means that activity has not been strong enough to drive the usual Autumn bounce in prices. However, when looking at the year-to-date, market activity remains resilient, albeit cautious in some parts of the market.

Rightmove says we’re now comparing market activity to a stronger period last year, which has resulted in some dips in year-on-year trends. This time last year, the first Bank Rate cut for four years in August 2024 boosted mover sentiment, while some home-movers in England, particularly in the south, began to take action to avoid April 2025’s stamp duty increase. 

Across the full month of September 2025, new buyer demand, and the number of new sellers coming to market are both down by 5% compared to a year ago, while the number of sales being agreed is down by 2%. However, looking at 2025 to date, new buyer demand is up by 2% across the year so far versus the same period in 2024, while the number of sales being agreed and the number of new sellers coming to market are both 5% higher than in the first nine months of last year. I

The subdued 0.3% monthly price rise means that over the last year prices are still down nationally by 0.1%. Annual falls in London and the south of England have dragged down the national average into negative territory. All four southern England regions are now seeing lower average asking prices than at this time last year, with London ‘s prices down by 1.4%. 

By comparison, all other regions have seen an increase of at least 1.0% compared to this time last year, illustrating the widening regional divide between the subdued south and the more robust north. The higher stamp duty rates that came into effect in England at the start of April continue to impact the more expensive southern regions, where home-movers are more likely to face increased costs. These regions have also seen a greater increase in the number of available homes for sale compared to last year, meaning that sellers need to be even more competitive with the prices they are asking. 

By contrast, the more affordable rest of England, plus Wales and Scotland, are less likely to be impacted by higher stamp duty charges, and the rumoured changes to property taxes in the forthcoming Budget.

In addition to Budget speculation, major overhauls to many aspects of the buying and selling process have been in the news in the last few weeks, with announcements by both the Government and the Conservative party. Rightmove says it strongly supports policies which would improve mobility and the buying and selling process, and make home-moving easier and more affordable.