Buyers Step Back: UK Housing Market Takes a Breather

Buyer Interest Drops to Two-Year Low

The UK housing market has seen a significant slowdown, with buyer interest reaching its lowest point in over two years. This decline is not merely due to seasonal factors but is largely attributed to recent economic policies.

Post-Budget Impact

The slowdown began following the finance minister's budget speech last month. The budget introduced a new tax on expensive homes, set to take effect in 2028. Despite the delayed implementation, the announcement has caused potential buyers to hesitate and reconsider their plans.

Pre-Existing Challenges

Even before the budget, the housing market was facing difficulties. High property prices and expensive loans have made home purchases increasingly challenging for many. The budget's introduction of new taxes has further exacerbated the uncertainty in the market.

Surveyor Insights

Surveyors, who have a deep understanding of the housing market, have mixed feelings about the new tax. They appreciate the high price threshold set for the tax but caution that the market will likely remain sluggish for some time.

Price Trends

While house prices continue to fall, the rate of decline has slowed. This could indicate that the market is beginning to stabilize. However, with affordability remaining a major concern, it is uncertain when the market will see a significant recovery.