06/02/2026
As we move through the first quarter of 2026, one thing is becoming increasingly clear:
The UK property market is not short of homes.
In many areas, available stock is higher than it was this time last year, and that shift is now showing up in pricing, buyer behaviour, and how long properties are taking to sell.
This isn’t a sudden change, and it isn’t a collapse. It’s the result of supply gradually building while demand becomes more cautious and price-led.
Supply: More properties, not fewer
Across much of the UK, housing supply has increased year-on-year. This is being driven by a combination of new listings coming to market and unsold stock carrying over from 2025. As a result, average marketing periods are longer, and choice has expanded for buyers.
The increase in supply is most noticeable in:
Flats, particularly one- and two-bed units
Typical three-bed houses, especially terraces and semi-detached homes
Properties still priced for last year’s market conditions
Many homes that failed to sell in 2025 are now being re-launched with price reductions of £10,000–£20,000 or more, as sellers begin to reset expectations.
Demand: Still present, but far more selective
Buyers have not disappeared. However, behaviour has clearly changed. Decisions are taking longer, negotiations are firmer, and buyers are far less willing to engage with homes that feel overpriced.
Correctly priced properties do still sell, but without the urgency or competition seen in previous years. Homes that are mis-priced are often ignored altogether, rather than negotiated down quickly. This has created a slower market — not because of weak demand, but because buyers now have options.
London, the South East, and South Essex
In London, the South East, and areas such as Thurrock and South Essex, the imbalance between supply and demand is particularly visible.
Stock levels are higher than they were a year ago, with flats and entry-level homes facing the most pressure. Family homes are still selling, but only when priced realistically from the outset. Sellers holding onto 2024 or early-2025 pricing expectations are experiencing longer delays and multiple reductions.
In Thurrock specifically, prices have broadly stabilised. Movement in the market is being driven more by corrections than by growth.
What’s changed since last year?
Compared with early 2025:
Buyers have more choice
Sellers have less pricing power
Price reductions are becoming normal, not negative
The market has slowed, but it has also become calmer and more rational. This is not a crash — it’s a reset.
What this means for 2026
For buyers, the balance of power has shifted. There is more leverage, more time to decide, and greater scope to negotiate.
For sellers, pricing correctly from day one is critical. Overpricing often leads to longer marketing periods and larger eventual reductions.
For investors, opportunity sits with motivated sellers, mis-priced stock, and areas where affordability and fundamentals still support demand.
The 2026 market isn’t about hype or momentum. It’s about strategy, realism, and understanding local conditions.
This is a stock-heavy, buyer-led market — and those who understand that will move best in 2026.
