Despite stamp duty stampedes and budget-fuelled chaos, the housing market of 2025 can be summed up in one word: resilient. But with proposed reforms that could change the home buying landscape irrevocably, will 2026 be as steady? Estate agents and property professionals share their predictions.
Rightmove
Rightmove predicts that the 2026 market will be closer to the second half of this year than the first, with improved buyer affordability and good choice of homes for sale supporting stronger market activity, and leading to a modest 2% price increase.
Those who paused their plans due to budget uncertainty are expected to pick up again after Christmas and join Rightmove’s traditional Boxing Day bounce in home-moving activity.
“Our survey of over 10,000 potential movers showed one in five were waiting to see the outcome of the budget before resuming their moving plans. We expect many of these budget-pausers that can afford to will become Boxing Day-bouncers as they get their plans going again.”
Some first-time buyers could take advantage of 2026 market conditions, with good choice of available homes for sale, average wage growth outpacing property prices and lower mortgage rates.
“We anticipate that average wage growth will outpace house price growth, improving buyer affordability, while many first-time buyers will also benefit from being able to borrow more due to Loan-To-Income and stress rate changes.”
The high number of available homes for sale will give first-time buyers more negotiating power, but many will likely still rely on the Bank of Mum and Dad to help with their deposit.
Colleen Babcock, Rightmove’s property expert:
“We predict the market will look and feel very different depending on which area of Great Britain you’re in, and the type of property you’re looking to sell or buy, with big differences particularly between the south of England and the rest of Great Britain. The market conditions next year will favour typical first-time buyers over those at the top-end of the market.”
Zoopla
Zoopla expects average UK house prices to increase by 1.5% over 2026, with a stronger than usual start to the year due to a post-budget release of pent-up demand. Zoopla expects housing sales to total 1.18 million over 2026.
House prices are expected to continue to rise at an above-average pace, over 2.5%, across the Midlands, northern England, Scotland and Northern Ireland in 2026. Lower house prices in northern England and Scotland mean better buyer affordability and higher rate of house price inflation. Zoopla expects this north-south divide in price inflation to continue over 2026.
Average UK house prices are projected to be 1.5% higher over 2026, with an annual average increase of 2.1% a year between 2027 and 2029 as housing affordability continues to steadily reset and supports the number of sales.
Jackson Stops
National estate agency Jackson Stops believes house prices across the UK will increase between 2-3% as normality resumes, with an uptick in supply softening growth despite rising demand.
Nick Leeming, chairman of Jackson-Stops:
“Interest rates are expected to settle in the mid-threes, already factored in by many mortgage lenders. This improving outlook is helping to restore confidence across the market. The first quarter of the year is set to be particularly busy, driven by pent-up demand that built ahead of the Budget and is expected to carry through into next year, reinforcing a spring bounce that should be more pronounced than the long-term norm.
“While much of the industry was uneasy about the kite-flying in the run-up to the Budget, the final outcome was better than initially feared. This has created the conditions for an unexpected ‘Reeves rebound’, giving buyers the reassurance they needed to proceed with their plans and move forward.
“Following almost six years of exceptional volatility driven by Covid, fiscal shocks and political uncertainty, 2026 is now expected to mark a return to a more stable and recognisable housing market.”
While the full implications of council tax reform remain some way off, the budget has already acted as a catalyst for buyer activity in the prime market. Jackson Stops agents report a flurry of offers, exchanges and completions of deals worth more than £1,000,000 in the immediate aftermath of the budget, most notably in prime central London (PCL), Cheshire’s Golden Triangle and the Cotswolds.
Nick Leeming:
“The urgency to agree deals in December suggests that buyers believe the prime regional market offers good value for money and they want to secure their property at that price now. The market is set for a modest uplift next year.”
Compare My Move
The home moving comparison site asked property experts what they think will happen to the property market in 2026. They predicted the market will lean more toward buyers, and mortgages will become more affordable.
Robin Edwards, property buying agent at Curetons, said:
“Many sellers will struggle to achieve their sometimes ambitious asking prices, and buyers, despite having more negotiation power, are constrained by tighter lending and a lack of confidence.”
Chris Webb, founder of The Estate Agent Consultancy, said:
“Buyers are far more price-sensitive than they were a few years ago. They’re more educated, they’re watching rates, and they’re quick to walk away if something looks inflated.”
Mortgage affordability looks more positive heading into 2026, Compare My Move said. Base rates have been dropping steadily through 2025, which has helped make mortgages more affordable than in the previous few years, and our experts expect that trend to continue.
Holly Tomlinson, financial planner at Quilter, said:
“Mortgage rates are likely to see a slow, gradual fall over the coming years rather than a sudden drop, particularly following the reduction in the cash ISA limit which many mortgage lenders had objected to.”
With thanks to Rightmove, Zoopla, Jackson Stops and Compare My Move for commentary and quotes.
