Foxtons has recorded a strong start to 2025 in London’s new-build property market, with sales volumes rising 16.5% in the first half of the year compared with the same period in 2024.
The growth bucks wider industry trends of flat or negative activity in the new homes sector. The estate agency’s internal data also shows a 2.2% increase in the total value of new homes sold in H1 2025, underlining steady demand despite wider economic headwinds.
First-time buyers accounted for 58.5% of Foxtons’ new homes sales during the period, making them the most active group in the sector. Landlords represented 25.4% of transactions, with home movers making up the remaining 16.1%.
Mortgage purchasers were the most prominent, at 72.6% of buyers, but cash buyers still made up a significant 27.4% of activity. With the ability to exchange in as little as 10 days, Foxtons said cash buyers – particularly landlords – still have time to secure properties and list them for the busy summer letting season.
The results build on an already solid year for Foxtons’ New Homes and Investments team in 2024. Joel Ellis-Duffy, the company’s New Homes Sales Director, said the figures highlight the capital’s resilience as a property investment destination.
“The London property market has continued to show why it is a great long-term investment over the first six months of the year,” Ellis-Duffy said. “The Foxtons New Homes team have made sure buyers, landlords and institutional investors have benefited from our expertise in navigating the market conditions.”
He added that off-plan sales and improving mortgage market conditions were encouraging signs for the second half of 2025.
“It’s reassuring to see first-time buyers accounting for by far the largest proportion of our new homes activity. With the government signalling its intention to ease lending criteria further, we expect buyer momentum to continue.”
Foxtons said the combination of resilient demand from first-time buyers, competitive mortgage products, and an active cash buyer segment could help sustain growth in London’s new homes sector into the second half of the year.
