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Buying · 6 minute read

What sold prices really tell you.

A completed sale is evidence of what one buyer paid for one property at one point in time—not an automatic valuation of the home beside it.

The short answer

Sold prices are most useful when several recent transactions closely match the subject property in location, type, size, tenure and condition. They become weaker evidence as those features diverge. Start with the closest genuine comparables, explain every adjustment and use a range rather than a false point estimate.

What the official data contains

HM Land Registry Price Paid Data records residential transactions submitted for registration in England and Wales. It includes price, date, property type, new-build status, tenure and address fields. It does not provide floor area, condition, room count, incentives, survey defects or the seller's circumstances. Registrations can also arrive after completion and records can later be amended.

A practical comparison method

  1. Begin on the same street or immediate micro-area, then widen only if evidence is thin.
  2. Match property type and tenure before looking at price.
  3. Prefer recent completions, while checking whether the market has moved since.
  4. Compare floor area, layout, plot, parking, lease length and condition from reliable particulars or direct knowledge.
  5. Exclude or heavily qualify non-standard transactions and properties with major differences.
  6. Use several adjusted observations to form a range.

Worked example

Suppose three similar freehold terraces sold for £292,000, £300,000 and £307,000. The £307,000 home had a completed rear extension; the £292,000 home required modernisation. A subject home in ordinary condition without the extension is not automatically worth the £299,667 average. The evidence might instead support a working range around £296,000–£302,000, subject to current demand, inspection and better comparables. The range is an inference from the evidence, not a formal valuation.

Common mistakes

  • Comparing an asking price with a completed price.
  • Using a postcode average without checking property mix.
  • Ignoring lease length, service charges or shared ownership.
  • Applying a broad house-price index directly to one home.
  • Treating refurbishment spending as pound-for-pound value.

Primary sources and next step

Use the HM Land Registry Price Paid Data collection and its published guidance for scope and updates. Put two comparable prices into our price-change calculator to test nominal and inflation-adjusted movement.

Limitations and corrections

This guide is educational and cannot replace a RICS valuation, lender valuation or survey. If you find a factual error or a source has changed, email hello@propertiesandhomes.co.uk.

Reviewed by the Properties & Homes editorial team
Published and last reviewed: 14 August 2026.
Change log: first edition.