Asking prices fell 2% in August. Rightmove cut its forecast

The Rightmove House Price Index measures the asking prices of homes newly listed for sale on Rightmove each month. It is a snapshot of what sellers are asking, not what buyers are paying, which makes it the earliest signal of how confident sellers feel.

What exactly did Rightmove report on 17 August 2026?

New sellers coming to market this month priced their homes lower than at any August since 2018. The average asking price is now £364,999, having been £372,359 in the July report published on 20 July 2026.

• Average new seller asking price: £364,999.
• Monthly change: down 2.0%, a fall of £7,360.
• Annual change: down 1.0%, the largest annual fall since December 2023.
• The 10 year average change for August is a fall of 1.3%, so this August is roughly half a percentage point deeper than normal.
• Buyer demand rose 5% since 20 July but is still 10% below the same point last year.
• London has the widest choice of homes for sale since 2010.

Which parts of the country are up and which are down?

The single national number hides two different markets. Annual asking price change by region, from the Rightmove House Price Index published 17 August 2026:

If you are selling in the North, the market you are reading about in the national headlines is not the market outside your window. If you are selling in London or the South, the headline is if anything gentler than your local picture.

Why did asking prices fall more than usual this August?

Two things are pressing at once. Borrowing has not got cheaper in the way sellers hoped, and there are more homes competing for each buyer.

• Mortgage rates edged back up. The average two year fixed rate is 5.09%, up from 4.92%, according to the same Rightmove release on 17 August 2026.
• The Bank of England held the base rate at 3.75% on 30 July 2026, so there has been no fresh cut for lenders to pass on.
• Buyer demand is recovering from the summer lull but still sits 10% below last year.
• Stock is high. More homes on the market means a buyer can walk away from an ambitious price and find another one down the road.

Matt Smith, Rightmove's mortgage expert, put it plainly in the release: "Confidence has taken a bit of a hit as fixed-rates remain elevated and return above 5%."

Does this mean my house is worth less than it was?

Not necessarily. An asking price is the figure a seller and their agent choose to advertise. A sale price is what a buyer actually pays and a lender actually accepts. The gap between the two widens whenever sellers have been optimistic, and a falling asking price average can simply mean new sellers are starting closer to reality rather than starting high and reducing later.

What has genuinely changed is the cost of getting it wrong. In a market with this much choice, an overpriced home does not sit quietly at the top of the range. It gets skipped, goes stale, and then needs a bigger reduction than the one it avoided at the start.

A price cut you make in week two is a strategy. The same cut in week twelve is a recovery.

What should I do if I am putting my home on the market this autumn?

1. Price against what has actually sold near you in the last few months, not against what similar homes are currently asking. Asking prices are a queue of hopes; sold prices are evidence.
2. Get more than one valuation and look at the reasoning, not just the number. The highest figure is the easiest to give and the hardest to achieve.
3. Ask each agent what they would do if there are no viewings in the first fortnight, and when they would recommend a reduction. Agree that plan before you list.
4. Treat the first two weeks as your best window. That is when your listing is new to every buyer with an alert set up.
5. Work out your net proceeds at a realistic sale price before you commit to an onward purchase, so a lower figure does not derail your next move.

What if I already have a buyer agreed?

A falling market headline is not, on its own, a reason for your buyer to renegotiate, and it is not a reason to panic. Your sale is priced at the figure you both agreed. Watch what your buyer spends rather than what they say: a solicitor instructed and paid, searches ordered and a mortgage application submitted are the signs of a buyer who is committed. Keep your own large, irreversible spending in step with theirs.

When is the next reading?

The Bank of England's next interest rate decision is on 17 September 2026, and Rightmove publishes its next index in mid September. Between now and then, the number that matters to you is not the national average. It is what homes like yours in your postcode are actually selling for.

ValuQ gives UK homeowners free, side-by-side property valuations from competing local estate agents, so you can compare the reasoning behind several figures before you speak to anyone.