The housing market is “stabilising rather than surging” suggests the latest Housing Insight report from Propertymark. But the report draws on data published before the recent Bank of England decision to hold base rate and the current volatility in the Middle East which commentators predict will have an impact on the property market.
Provisional data from January 2026 shows sales volume decreased to 79,880 compared with 82,350 in January 2025 and sales per estate agency branch increased in January 2026 to an average of 6.3. The average number of new prospective buyers registered per member branch remained the same as December 2025at 74 in January 2026.
Stock levels also remained broadly unchanged, with an average of 39 properties for sale at each member branch in January.
There were around 9.6 new homes per branch placed for sale across January 2026; and an average of 21 market appraisals per branch. Tracking transaction timescales, the report suggests estate agents feel around a third (30.3%) of housing transactions completed in January 2026 took longer than 17 weeks to complete.
While estate agents remarked that January has been one of the most active months in the last two years, affordability continues to be a problem. Nathan Emerson, CEO, Propertymark, said:
“January’s figures highlight a housing market that is gradually regaining momentum following the festive period. While the Bank of England base rate remains at 3.75% and inflation still above target continues to influence borrowing costs and consumer confidence, we are seeing encouraging signs of resilience across both the sales and lettings sectors.
“Viewing numbers rising to an average of 2.2 per property, alongside an increase in market appraisals to 21 per branch, suggests that many sellers are beginning the year with renewed confidence and are preparing to bring homes to market. At the same time, the modest uplift in sales agreed indicates that buyers remain active, although affordability pressures and the wider economic environment mean many continue to negotiate below the asking price.
“Overall, the data points to a market that is stabilising rather than surging. Activity is returning after seasonal slowdowns, but the pace of recovery will remain closely linked to inflation trends, interest rate decisions, and wider economic confidence during 2026.”
The latest mortgage data (Q4 2025) show stability in gross mortgage advances and a dip in the value of new mortgage commitments quarter on quarter. Almost a third (29%) of adults reported finding it ‘very or somewhat difficult’ to afford their rent or mortgage payments between 3 December 2025 and 4 January 2026. Property commentator and founder of Move iQ Phil Spencer, added:
“For many buyers and renters, the start of 2026 still feels like a balancing act between opportunity and affordability. With interest rates now fluctuating and borrowing costs still elevated compared to previous years, people continue to approach moves cautiously.
“What we are seeing in this data is that people haven’t stopped moving, but they are being more measured in their decisions. The rise in viewings suggests buyers started to actively explore their options again, while stable buyer registrations showed that demand was returning even if people are taking longer to commit.”
