HMRC have released national statistics, with the seasonally adjusted estimate of UK non-residential (commercial) transactions in October showing a 42 per cent increase compared to October 2023, and a 40 per cent increase compared to September 2024.
The seasonally adjusted estimate of UK residential transactions in October shows a 21% increase compared to October 2023, and a less than 10 per cent increase compared to September 2024
Andrew Lloyd, Managing Director at Search Acumen, the property data and insight provider, comments:
“Recovery in the commercial and residential property markets is transitioning into consistent growth following another month of promising transaction increases. They reflect a change in the property market that is encouraging, and one we hope will continue to snowball over the winter months.
“Several weeks on from a historic budget, and a few months on from a historic election, the dust has begun to settle, providing the certainty we have been looking for. This has given way to positive movement in the market, with transaction volumes reflecting this. Interest rates, while not as low as we could hope, are feeling less like the credit-constraining property correctors of the post-pandemic years that had stifled growth in our sector. In the commercial market, growth is being driven by high-quality assets and thriving subsectors. The hotel and luxury retail sectors in particular have attracted investor interest more successfully than the office market, for example. We can be largely positive about the upward trend of the market in these new political and economic conditions.
“With the market continuing to pick up momentum, positive movement and progress being stifled by hurdles in the transaction process is an even greater shame. Inefficiencies slowing deal flows could be overcome with the adaption of the sale and purchase system in the UK. Fortunately, this process is not set in stone, it just needs a combined and sustained effort to change. Digital innovation and technological advancements using AI need to be used to unlock a revolution to the existing transaction process. Adoption of technology will ensure property deals keep pace with growth in the market.”
Chris Little, Chief Revenue Officer, finova comments on the HMRC Property Transactions data, has said:
“Today’s data highlights the resilience of the housing market, which remains in good shape, even despite pre-Budget jitters last month. Mortgage approvals have also reached a two-year high, signalling renewed confidence from both buyers and lenders after a few challenging years. Equally, the re-emergence of competitive sub-5% products, with rates as low as 3% for those able to shop around, is adding an extra layer of optimism. There’s a growing sense of light at the end of the tunnel, especially with another potential base rate cut on the horizon.
“Looking ahead, the expected rush in transactions early next year, driven by Stamp Duty changes, is a golden opportunity for lenders to leverage new tech innovations andto streamline their processes. Innovation is likely to take centre stage next year, and Halifax’s bold launch of a 1.5-year fixed-rate remortgage product could hint at what’s to come. As lenders compete to offer buyers greater flexibility as rates stabilise, we’re likely to see even more dynamic products enter the market next year.”
In response to HMRC’s latest National Statistics UK Monthly Property Transactions Commentary, Nathan Emerson, CEO of Propertymark, comments:
“In England and Northern Ireland especially, the trend of increasing house transactions is likely set to continue as Stamp Duty increases loom from April 2025.
“With borrowing rates also lower than this time last year, and with more homes coming to the market, this mixture has provided aspiring or current homeowners with the confidence and extra affordability to make their house move.”
