UK house prices dropped this month but the numbers of agreed sales increased 15% on a year ago, according to Rightmove data.
Average asking prices for new houses on the market dropped 0.4% to £373,493, which the property website said was a bigger July drop than usual.
Market activity was said to have remained steady throughout the general election campaign, shown in part by the increase in numbers of sales, which were up from the 6% increase a month earlier.
Similarly, the number of new sellers was steady at 3% above last year.
"Three major uncertainties hanging over the property market at the start of the year were when the first interest rate cut would be, and the timing and the result of the general election. We’ve now got the political certainty of a new government with a large majority, which we expect will help home-mover confidence," said Tim Bannister, Rightmove’s director of property science.
Current market expectations are that the first Bank of England Base Rate cut may interest rates in August or September, which is expected to give a boost to the housing market.
The average five-year mortgage fixed rate is currently 4.97%, down from a peak of 6.11% in July 2023, but double the average of 2.51% from July 2021, before the BoE started raising rates.
"A base rate cut is expected to lead to lower mortgage rates, which could be the gamechanger for some would-be home-movers who are being held back by significantly higher monthly mortgage costs," Bannister said.
"A first base rate cut for over four years, together with the new political certainty, could set the scene for a positive autumn market, with improved affordability and a more confident outlook in the second half of the year."