Date Published 09 May 2025
The latest market snapshot from the Royal Institution of Chartered Surveyors (RICS) highlights increasing strain in the UK housing market. In April, both buyer enquiries and agreed sales declined further, largely due to ongoing economic uncertainty, affordability challenges, and tight borrowing conditions. Specifically, new buyer interest fell for the third consecutive month, with a net balance of –33%, while agreed sales registered a net balance of –31%, marking the weakest sales figure since August 2023.
According to RICS Chief Economist Simon Rubinsohn, the expiry of the stamp duty holiday at the end of March has been a key factor behind the recent downturn, compounded by geopolitical tensions. Short-term expectations remain subdued, with a net balance of –15% forecasting a further dip in sales over the next three months. However, longer-term sentiment appears more optimistic, with a net balance of +17% expecting sales growth over the coming year, up from +11% in March.
House prices remained relatively stable, slipping into slightly negative territory at –3% from +2% previously. While short-term price expectations are cautious (–21% net balance), the outlook over the next year is more positive, with +39% of respondents expecting price growth.
On the supply side, new instructions to sell remained largely unchanged (net balance +6%), and property appraisals showed only marginal increases, indicating limited near-term improvements in supply. In the rental sector, tenant demand rose (net balance +14%), while new landlord instructions continued to decline (net balance –26%), suggesting ongoing upward pressure on rents. Near-term rent expectations (net balance +25%) indicate further rental price increases.
The RICS survey also notes that despite concerns related to recent global developments, such as the Trump tariff announcements, the market has shown a notable degree of resilience.
As your trusted Agent, Adams Estates will ensure to keep all of our clients updated regarding change in patterns throughout both the UK's rental and sale sector.
