UK Premium Property Market Update — November 2025
As we approach the end of 2025, it’s natural to take stock of how the property market has performed, especially in the premium segment (homes priced above approximately £750,000). This year has been shaped by broader economic uncertainties and industry-wide speculation, but there are encouraging developments ahead for both buyers and sellers.
Here’s a straightforward update on where things stand.
Market sentiment: Cautious but still active
In November, the UK premium property market showed signs of caution, especially in the weeks leading up to the Autumn Budget. Many potential buyers and sellers opted to take a “wait and see” approach rather than rushing into decisions amid uncertainty. This resulted in lower volumes of new listings and agreed sales in the final month before the Budget was announced.
It’s worth noting that this pause doesn’t mean interest has disappeared, it simply reflects a temporary slowdown as people awaited greater clarity on what changes might be coming. Despite this, year-to-date figures remain stronger than in previous years, showing that activity earlier in 2025 helped sustain overall momentum.
Autumn budget and buyer confidence
The Autumn Budget, delivered later than usual in November, included an announcement of a new annual surcharge on higher-value homes (those worth more than £2 million), which will take effect in 2028. Known officially as the High Value Council Tax Surcharge, this measure drew considerable attention.
Understandably, speculation about potential tax changes in the months before the Budget contributed to hesitation among some buyers and sellers, particularly at the higher end of the market. However, the Budget confirmed that no additional annual tax will be applied to homes valued at £500,000 and above, a relief for many owners in this much-broader category. This clarity is expected to support buyer confidence and activity as we move into 2026.
What this means for sellers
If you’ve been waiting to list your home, the recent market conditions and Budget announcements offer a clearer picture of what lies ahead:
- Clarity boosts confidence: With the ambiguity around new annual property taxes largely resolved for most of the premium market, many owners may feel more comfortable returning to the market next year.
- Stock levels stabilising: After a period of elevated choice for buyers, the number of premium homes for sale is beginning to level off. This could reduce competition and help well-presented properties attract more serious viewings.
- Realistic expectations still matter: While the market has shown resilience, it remains important to price thoughtfully and work with experts who understand current buyer behaviour.
What this means for buyers
For buyers considering a move in early 2026, the end of 2025 offers several positives:
- The market may gain momentum: Now that the Budget is known and uncertainty has eased, buyers who felt on the fence may re-enter the market with confidence.
- There’s still choice: With stock levels elevated throughout much of 2025, buyers have more options to consider — an advantage when searching for the right property.
- Planning ahead pays off: Being financially prepared and understanding your priorities will put you in a strong position when activity picks up again in the new year.
Looking ahead to 2026
Overall, 2025 has proven that the premium housing market remains active and resilient, even in the face of uncertainty. While buyers and sellers paused ahead of key announcements, many remained engaged and ready to proceed once clarity emerged. As we move into 2026, confidence should continue to strengthen, making this a promising time to plan your next move.
If you’re thinking about buying or selling, now is a great time to get in touch — we’d be delighted to talk through what these trends mean specifically for your property goals.
Credit: Simon Gates - Opening The Gates
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