UK house gross sales plunged by 41% yearly in March

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Your help makes all of the distinction. Learn extra The estimated variety of house gross sales in March this 12 months was 41% decrease than the identical month in 2025, in response to HM Income and Customs (HMRC) figures.

The massive annual lower was pushed by excessive transaction ranges a 12 months earlier, forward of the ending of a stamp responsibility vacation in April 2025, as patrons rushed to finish transactions at the moment.

Throughout the UK, round 104,070 house gross sales befell in March 2026, which was 1% larger than the earlier month, HMRC mentioned.

Regardless of the numerous fall in contrast with a 12 months earlier, the March 2026 house gross sales determine was the best recorded since March 2025.

Mortgage charges have been easing in latest weeks, however jumped following the Center East battle.

Frances McDonald, director of analysis at Savills, mentioned: “March transaction knowledge factors to a level of resilience within the UK housing market, as exercise maintains momentum on long-term averages, regardless of ongoing financial pressures.

“Nevertheless, these numbers have possible been supported by these desirous to lock into mortgage affords and transact forward of additional price rises. Many of those offers can have been agreed and within the pipeline previous to the battle within the Center East.

“The true affect of the latest wave of uncertainty will possible turn into extra obvious within the coming months, as soon as mortgage affords previous to the battle start to run out.”

Tom Invoice, head of UK residential analysis at Knight Frank, mentioned: “Mortgage charges have jumped round in latest weeks, given the confused outlook across the size of the battle and to what extent it might escalate.”

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Nicky Stevenson, managing director at High quality & Nation, mentioned: “The 41% fall is extra about final 12 months’s distortion than a sudden deterioration in demand.

“It’s additionally value remembering these figures replicate completions, which usually lag agreed gross sales by two to 4 months. With this in thoughts, the continuing headwinds affecting affordability might have slightly longer to trickle right down to the market.”

Iain McKenzie, chief government of The Guild of Property Professionals, mentioned: “Mortgage price volatility earlier within the 12 months did weigh on sentiment, however with swap charges easing and lenders starting to trim fixed-rate merchandise, there are early indications of bettering confidence.”

Jeremy Leaf, a north London property agent, mentioned: “The ‘need-to-moves’ are exhibiting extra realism with regards to negotiations, though the quantity of selection of flats particularly means it's taking longer to acquire dedication and a few costs are softening slightly.

“Demand for smaller household homes has remained comparatively sturdy as we might anticipate right now of 12 months.”

Nathan Emerson, chief government at property professionals’ physique Propertymark, mentioned: “As customers put together for the historically busy spring months to purchase and perhaps promote a property, they need to maintain an in depth eye on mortgage offers and future affordability when it comes to guaranteeing continuity relating to family budgeting in case of future jumps in inflation.

“Propertymark’s sector knowledge lately demonstrated a peak within the variety of housing transactions taking in extra of 17 weeks to finish. With present uncertainty throughout the financial system, there may be potential for this determine to pattern additional upwards.”