UK residential property transactions finished 2025 slightly ahead of where they were 12 months earlier, with activity holding steady despite the political and economic uncertainty that dominated the autumn.
The latest figures from HM Revenue and Customs show there were 100,440 transactions recorded in December 2025. That is 5% higher than December 2024 and marginally lower than November, where volumes were just over 100,000.
On a non-seasonally adjusted basis, 105,730 homes changed hands in December, up 7% year on year and 1% higher than the previous month. HMRC says monthly volumes have remained broadly stable since the summer, after the earlier rush to complete ahead of April’s stamp duty threshold changes.
The figures, though, are provisional and reflect completions rather than newly agreed sales, which means they lag current market conditions by several months.
Property transactions remained stable
Nathan Emerson, chief executive of estate agency body Propertymark, says it was “encouraging to see that property transactions remained stable following the Autumn Budget”, adding that the figures provided enough clarity for many households to continue with their buying and selling plans.
Many estate agents are also currently reporting that transactions are improving compared to last year, but say buyers remain cautious. According to Amy Reynolds, head of sales at Antony Roberts, though, it is “not a runaway market”, with activity depending heavily on realistic pricing. And Iain McKenzie, chief executive of The Guild of Property Professionals, says the data shows “a market that is regaining its footing”, with confidence returning gradually rather than all at once.
Mortgage costs remain key
Mortgage costs remain key. They are lower than they were a year ago, and, at the same time, lender competition has improved choice for borrowers, although affordability is still stretched for many households. Mark Harris, chief executive of SPF Private Clients, says, however, that buyers who paused decisions ahead of the Budget are now moving forward again, with mortgage enquiry levels similar to last January.
Hamza Behzad, business development director at mortgage technology platform Finova, adds that the figures suggest the market is “cautious rather than stalling”, with many households still taking time to respond to improving conditions. He describes the recovery as likely to be “slow and measured rather than a rapid rebound”.
Ryan McGrath, director of second charge mortgages at Pepper Money, believes the data points to “underlying resilience”, even if many homeowners are choosing to improve their existing homes rather than relocate.
Largest pipeline of sales since the pandemic
At the same time, portal data has revealed that a steady flow of agreed sales built throughout 2025, which continues to support completion numbers. Richard Donnell, executive director at Zoopla, says last year created “the largest pipeline of sales working their way to completion since the pandemic”, although he noted that buyers remain “cautious and price sensitive”.
And Tom Bill, head of UK residential research at Knight Frank, says December activity was broadly in line with long-term averages, suggesting the market is normalising rather than overheating.
The overall picture is of a market that remains cautious but functional. Buyers who need to move are still proceeding, while discretionary moves are carefully weighing borrowing costs against household budgets, and sellers who are pricing realistically are getting offers.
