RICS Residential Market Survey November 2025

Sales market remains weak as demand deteriorates further

New buyer enquiries fell more sharply in November, with the net balance declining to -32% (from -24% in October), marking the weakest reading since late 2023 and highlighting broadly negative demand conditions across the UK.
Agreed sales remained subdued, posting a net balance of -23% (vs -24% previously), signalling an ongoing downturn in transaction volumes rather than any stabilisation.
Near-term sales expectations edged lower to -6% (from -3%), pointing to little prospect of improvement over the next three months.
Twelve-month sales expectations strengthened to +15% (from +7%), suggesting respondents are increasingly confident that activity will recover gradually over the course of 2026.
Survey feedback indicates that the recent Autumn Budget has done little to lift confidence, with uncertainty continuing to weigh on buyer and seller sentiment.

Supply remains constrained, with pipeline signals deteriorating

New instructions stayed firmly negative at -19%, broadly unchanged from October (-20%), indicating a continued slowdown in the flow of properties coming to market.
Market appraisals fell further to -40%, the fourth consecutive monthly decline, signalling that appraisal activity is now running well below year-ago levels and pointing to a persistently thin pipeline of future listings.

House prices continue to edge lower, though signs of stabilisation are emerging

The national house price balance improved marginally to -16% (from -19%), consistent with a gentle decline in prices but suggesting that downward momentum may be easing.
London stands out as the weakest region, with the price balance falling to -44%, potentially reflecting the impact of additional taxation on higher-value homes announced in the Budget.
Scotland and Northern Ireland remain notable exceptions, with respondents continuing to report modest price growth.
Short-term price expectations were little changed at -15%, indicating limited further softening in the near term.
Over the next 12 months, sentiment turned more positive, with 24% of respondents expecting prices to rise, the strongest reading since June and supportive of a gradual recovery outlook into 2026.

Rental market cools as demand eases and supply pressures persist

Tenant demand weakened significantly, with the net balance falling to -22%, the softest reading since April 2020, reflecting both seasonal effects and growing affordability constraints.
Landlord instructions remained deeply negative at -39%, underlining ongoing supply withdrawals from the private rented sector, with some respondents citing higher taxation as a key factor.
Near-term rent expectations moderated further to +6%, the flattest outlook since the early stages of the pandemic.
Over a 12-month horizon, rents are still expected to rise by around 2.5%, though this represents a more modest pace of growth compared with recent years.