Buyer demand and agreed gross sales stay in destructive territory for the third consecutive month, in accordance with the most recent Rics UK Residential Market Survey.
The web stability for new purchaser enquiries slipped additional to -19% for September, marking the third successive month of decline.
Agreed gross sales posted a -16% web stability, indicating a continued slowdown regardless of a slight enchancment from August’s -24%.
Forward-looking sentiment suggests this muted image is prone to persist into early 2026.
The survey pointed to a downward stress on home costs: The nationwide value stability of -15% factors to modest downward motion, with the South East and East Anglia experiencing the sharpest declines.
Regional divergence persists: Scotland and Northern Ireland stay outliers, persevering with to see modest value good points.
New vendor directions recorded a -15% stability, the second consecutive month-to-month drop, signalling a cooling in provide.
Rental market tightened additional: tenant demand was broadly flat (-1%), whereas landlord directions dropped sharply to -38%, the bottom since May 2020. Rents are anticipated to rise by round 3% over the following yr.
Across the rental market, the imbalance between demand and provide stays acute. Landlords proceed to exit the sector amid ongoing regulatory adjustments and price pressures. As a outcome, rents are projected to rise steadily by way of 2026, exacerbating affordability challenges for tenants.
Surveyors throughout the nation cited considerations over the upcoming November Budget, which many anticipate to incorporate additional property-related taxation. Respondents reported rising warning amongst patrons and sellers, with affordability and sentiment appearing as key constraints.
Commenting on the most recent numbers Rics head of market analysis & analytics, Tarrant Parsons, mentioned: “The housing market continues to battle for momentum, with seemingly no clear catalyst on the horizon to spark a turnaround over the near-term.”
He added: “Buyer demand stays subdued, whereas agreed gross sales are nonetheless on a downward development, reflecting a broader hesitancy within the market. Ongoing uncertainty round potential measures within the upcoming Budget can also be possible including to the prevailing cautious sentiment.”
former RICS residential chairman and London property agent Jeremy Leaf mentioned: “New purchaser enquiries, agreed gross sales, listings and costs are all persevering with to melt – however not right.
“The prospect of upper – not simply for property – taxes within the Budget is compromising confidence aside from for those that are notably motivated to maneuver. Looking ahead, we see little chance of change at the least till after the top of November. However, in related circumstances beforehand, now we have usually discovered the weaker the uncertainty, the stronger the restoration.”
MT Finance director Tomer Aboody mentioned: “With fixed negativity surrounding the upcoming Budget, each patrons and sellers alike are both biding their time to see what materialises, or are attempting to be lively however at decrease asking costs.”
He added that with Kemi Badenoch asserting {that a} new Conservative authorities would axe stamp responsibility on main residential purchases, would possibly this probably persuade Rachel Reeves that stamp responsibility was an enormous barrier to the market and might be decreased or probably restructured?
