UK property transaction levels picked up in December, adding to evidence that the housing market is slowly regaining momentum after a subdued period.
Government figures published today show there were 100,440 residential property transactions across the UK in December 2025, up 5 per cent compared with December 2024 and only marginally lower, by less than 1 per cent, than November’s total.
Non-residential activity also improved on an annual basis. There were 10,640 commercial and non-residential transactions in December, 7 per cent higher than a year earlier, although volumes were down 10 per cent compared with November 2025.
Market commentators said the figures point to a gradual improvement in buyer confidence, helped by easing mortgage costs and changes to affordability rules.
Babek Ismayil, chief executive of OneDome, said the data suggests the market is beginning to thaw.
“The rise in transactions points to a market that’s starting to come back to life,” he said. “Lower mortgage rates and changes to affordability testing are helping buyers move forward, even against a backdrop of wider economic uncertainty. After months of hesitation, buyers are beginning to act, particularly where prices have softened and sellers are open to negotiation.”
Omer Mehmet, managing director at Trinity Finance, said the year-on-year increase indicates a slow return of confidence.
“Transaction numbers picking up suggest buyers are feeling more comfortable re-entering the market,” he said. “Improved mortgage affordability and more competitive fixed rates are giving people greater flexibility, especially those who have been waiting on the sidelines. With more stock available and sellers becoming more realistic on price, buyers feel less pressure and more able to negotiate.”
There are also signs that first-time buyers are starting to benefit from the shift in market conditions. Aaron Strutt, product and communications director at Trinity Financial, said lending changes are beginning to have a tangible impact.
“There’s little doubt that changes to mortgage affordability rules, alongside cheaper fixed rates, are helping more people get onto the property ladder,” he said. “It’s very much a buyers’ market at the moment. Confidence is slowly returning, even with ongoing global economic uncertainty. Many buyers have been waiting for prices to adjust, and in some areas, particularly where homes have been listed for a long time, those price reductions are now appearing.”
While transaction volumes remain below the peaks seen during the pandemic-era boom, the latest figures suggest the housing market may be stabilising, with improved lending conditions encouraging buyers to resume activity after a prolonged slowdown.
