Property stock levels rise, Prices drop. What this could mean for you
The UK property market is entering a new phase—one defined not by urgency, but by choice. For estate agents, sellers, and landlords alike, the landscape is shifting, bringing both challenges and opportunities in equal measure.
Recent figures highlight a significant rise in housing stock across the UK, creating a more competitive environment than we’ve seen in over a decade. While this is undoubtedly good news for buyers, it also means that sellers must now work harder than ever to stand out and secure a successful sale.
A High Surge in Housing Supply
In the first five months of 2026 alone, approximately 794,000 properties have been listed for sale across the UK. This represents a 2.7% increase compared to the same period last year—and marks the highest level of available stock recorded in ten years.
This surge in supply is reshaping the market. Where sellers once benefited from limited competition and high demand, buyers are now presented with a wide array of options. As a result, they are taking more time, comparing more properties, and negotiating more confidently.
A Slower Pace of Sales Agreed
While listings have increased, the number of properties progressing to “sale agreed” has begun to slow. Overall, agreed sales are down 4.1% compared to last year, with May seeing a more notable dip of 8.1%.
This doesn’t indicate a collapsing market—but rather a cooling one.
It’s important to remember that the market in early 2025 was heavily influenced by stamp duty changes, which drove a surge in buyer activity. Now that urgency has eased, we are seeing a return to more normalised conditions.
Encouragingly, demand still remains stronger than in 2023 and broadly in line with 2024 levels. Buyers are still active—they are simply more measured in their decisions.
Increased Competition Among Sellers
With more homes available, competition between sellers is intensifying.
This means:
- Pricing must be accurate from day one
- Presentation is critical to attract attention
- Marketing strategies need to be stronger and more targeted
The days of “list it and it will sell” are behind us—for now. Success in today’s market comes down to strategy, not just timing.
Pricing Pressures Begin to Emerge
The rise in supply is also having an impact on pricing.
Average asking prices for new listings have dipped slightly by 1.2% year-on-year, now sitting around £441,400. However, what’s particularly interesting is that achieved sale prices remain relatively stable.
This tells us that while sellers are adjusting expectations to attract interest, the overall value of property has not significantly declined.
In essence, sellers are competing more—but not necessarily losing value.
Improved Stability Behind the Scenes
Despite the slower pace of agreed sales, there are several positive indicators within the market:
- Fall-through rates have decreased from 24.4% to 23.4%
- The total number of collapsed transactions has dropped by over 11%
- Buyers entering the market are more serious and committed
These are all signs of a more sustainable and less volatile market environment.
However, one ongoing challenge remains—time.
The average period from sale agreed to exchange has now risen to 132 days, an increase of seven days compared to last year. This highlights the importance of strong sales progression and proactive communication throughout the transaction process.
What This Means for Sellers
If you’re considering selling your home, the key takeaway is simple: preparation has never been more important.
In today’s market:
- Realistic pricing attracts serious buyers
- Professional marketing makes a tangible difference
- Flexibility can be the key to securing a deal
The right guidance from an experienced estate agent can help position your property effectively and maximise your chances of success.
Landlords: Is It Time to Reassess?
For landlords, this shift in the market may prompt an important question—is now the right time to sell?
With increasing regulation, changing tax implications, and evolving tenant expectations, many landlords are choosing to exit the market or reduce their portfolios.
At the same time, strong buyer demand—particularly from first-time buyers and owner-occupiers—means well-presented rental properties can still achieve excellent results.
If you’re thinking about selling your rental property, or simply want to explore your options, now is the perfect time to have that conversation.
Looking Ahead to the Second Half of 2026
With stock levels continuing to rise and sales activity softening slightly, the remainder of the year is likely to require a more strategic approach from both agents and sellers.
However, this is not a downturn—it’s a transition.
We are moving towards a more balanced, sustainable market where:
- Buyers have confidence and choice
- Sellers are guided by data and expertise
- Transactions are built on realistic expectations
Final Thoughts
The most striking feature of today’s market is the level of opportunity—particularly for those who are well-prepared.
Yes, conditions are more challenging than in recent years. But with the right approach, successful sales are still being achieved every day.
If you are considering selling your home, exiting the rental market, or simply want honest, professional advice tailored to your situation, we’re here to help.
📞 Call us today on 0121 681 6327 to discuss your property plans with our experienced team.