As we approach the end of 2025, the London property market continues to demonstrate a resilience that defies the headlines.
At Winkworth, we’ve seen first-hand that motivated buyers remain highly active — and new national data now confirms just how strong underlying demand has been throughout the year.
Fresh analysis from TwentyEA shows that despite a brief slowdown in October, largely attributed to pre-Budget uncertainty, buyer demand across the UK is at its highest level since 2022. With clarity now restored following the Autumn Budget, this momentum looks set to build into the new year.
Market Fundamentals Remain Strong
More than 1.5 million homes have been listed across the UK so far in 2025, with over 1 million sold — both slightly higher than this time last year:
- Supply up: +3.3% year-on-year
- Sales agreed up: +4.1% year-on-year
This lifts the national demand-to-supply ratio to 72.4%, surpassing levels seen in 2023 and 2024.
At Winkworth offices across London, we’re seeing similar patterns: higher-quality stock entering the market and a broad base of committed buyers ready to act once pricing aligns.
October’s Dip: A Budget-Induced Pause, Not a Downturn
Buyer demand fell -2.7% in October compared with last year — but analysts agree this was a
momentary pause, caused by uncertainty surrounding the Budget’s timing and tax expectations.
Last October saw an unusual spike in activity as falling interest rates pushed buyers to rush deals before the Budget. This year’s quieter October, therefore, sits in clear context — not as a sign of weakening demand.
TwentyEA emphasises that year-to-date demand remains the strongest since 2022, echoing what we’ve seen on the ground at Winkworth: active applicants, busy valuations, and serious buyers waiting for the right opportunity.
Detached Homes Lead the Charge
Demand shifts by property type offer further insight:
- Detached homes: Demand up +4.6% — the fastest-growing segment
- Flats and terraces: Steady but more price-sensitive
- Family houses: Strongest interest among upsizers and relocators
This aligns with London trends, where buyers increasingly prioritise lifestyle, space, and flexibility, even within more compact areas of the city.
Price Reductions Are Rising — Especially in London
Instruction prices nationally are slightly lower than last year:
- Average asking price: Down -0.8% (£3,700)
- Inner London: The only region to see reductions greater than -3%
Meanwhile, price reductions have become more common, signalling greater realism among sellers:
- 1 million+ price reductions recorded so far in 2025
- 38.7% of listings saw at least one reduction (up from 38.0% in 2024)
- Reductions rising fastest in London and the South, where affordability pressures remain highest
- Homes over £1 million have seen the biggest jump in reductions (+3 percentage points)
This pricing shift is creating opportunity for serious buyers — and helping correctly priced property move quicker.
Expert Outlook: Confidence Could Rise Post-Budget
Katy Billany, Executive Director of TwentyEA, captures the market mood:
“The data shows that both supply and demand remain resilient despite a dip in October, and hopefully we’ll start to see demand increasing again once we have some clarity following the Autumn Budget.”
At Winkworth, we expect exactly that. With uncertainty lifted, we anticipate:
- A resurgence of buyer activity
- Increased viewings in December
- A particularly strong start to the 2026 market
What This Means for London Sellers
If you’re considering selling:
- Strong buyer demand is returning
- Realistic pricing is delivering faster results
- Increased supply means more competition — but also more committed buyers
- Window of opportunity: post-Budget clarity + pre-spring momentum
Correctly positioned homes are achieving interest quickly, even as buyers compare more options.
What This Means for Buyers
For active buyers, the current environment offers:
- More choice than at any point in the last seven years
- Motivated sellers creating negotiation space
- Reduced competition ahead of the traditional New Year surge
Those prepared to act now may secure excellent value before the January wave begins.
Winkworth: Helping You Navigate the Months Ahead
Whether you're planning to sell, buy, or simply understand how the latest data affects your local market, our London offices are here to guide you.
With demand rising and clarity restored, now is a smart moment to reassess your property plans.
Contact your local Winkworth office to discuss next steps and take advantage of a market gaining renewed momentum.
Source: PrimeResi and Twenty EA
