Spring has well and truly sprung in Cardiff, and the property market has followed suit. As we leave the cold nights of winter behind, property owners are getting their homes on the market ready for prospective buyers and contract-holders.
We’ve broken down everything you need to know about the property market so far in 2025, from interest rates to house prices so that you can start your property journey with a spring in your step.
What’s new in lettings?
Rent prices have increased by 3% over the last year, down from 7.4% in the previous year, according to Zoopla. The supply and demand imbalance is slowly but surely narrowing, with 11% more homes available for rent, and demand being 17% lower than a year ago.
The latest ONS data has revealed that the average monthly private rent price in Cardiff has risen slightly and now ranges from £841 for a one bedroom property to £1579 for a property with four or more bedrooms.
Under the latest government plans to reform home ownership, new leasehold flats are set to be banned in Wales and England. The UK Government wants to move to a system of home ownership known as commonhold, where homeowners own a share of and have control over buildings they live in.
The government hasn’t outlined specific plans yet but a draft Leasehold and Commonhold Reform Bill, which will include details of how the system would work, is set to be published later this year.
What’s happening in the sales market?
The interest rate has been held again at 4.5%, its lowest level since June 2023, making it cheaper to borrow for mortgages and therefore the perfect time to buy a property. Zoopla’s House Price Index shows that the number of houses for sale has risen by 11% compared to a year ago, meaning there are more buyers in the market and an increase in consumer confidence.
According to the ONS, the average house price in Cardiff was £276,000 in December 2024, with £238,000 the average price paid by first-time buyers. The Skipton Group’s home affordability index suggests that Wales is the least affordable area of Britain for those trying to get on the housing ladder, with Cardiff featuring as one of six of the least affordable areas in the country for first-time buyers.
However, action is being taken as the Welsh Government has launched an extension of the Help to Buy Wales scheme, which has helped more than 14,500 people who could not afford to buy a home. With help from our experts who know exactly what it takes to purchase a home, we can lend in depth support and advice for first-time buyers in Cardiff.
We’ve been securing successful property purchases in Cardiff for over 50 years, so we know the best timings for each season. With our help, you can find the right property at the right time or get yours off the market. Call us on 02920 626252, visit https://thomashwood.com/, or pop into to see us in our Whitchurch and Radyr branches to start your property journey.