Recent data from the RICS UK Residential Market Survey for October 2025 shows that new buyer enquiries have dropped, with a net balance of -24%, the lowest since April

The UK housing market has experienced a marked slowdown as uncertainty surrounding the upcoming Autumn Budget has led to lower buyer demand, sales, and new property listings.

Recent data from the RICS UK Residential Market Survey for October 2025 shows that new buyer enquiries have dropped, with a net balance of -24%, the lowest since April. This trend is evident across all regions, reflecting a nationwide hesitancy as households postpone decisions until after the government’s fiscal plans are announced.

Sales activity has also weakened, with agreed sales registering a net balance of -24%, down from -17% the previous month. While short-term sales expectations remain subdued, a net balance of +7% of surveyors anticipate a modest improvement in 2026.

New vendor instructions have continued to dropped, hitting their lowest level since 2021, and appraisal activity—a key indicator of future supply—has declined to -37%. The national price balance stands at -19%, consistent with recent months, with London, the South East, and East Anglia seeing the most pronounced declines.

Over the next quarter, prices are expected to weaken further, although expectations for the next 12 months have turned positive, with a net balance of +16%.

Tenant demand has levelled off, but landlord instructions have dropped sharply, hitting their lowest level since April 2020. While rents are still forecast to increase in the near term, the pace of growth has slowed compared to recent years. Surveyors have raised concerns about the impact of the Renters’ Rights Act and possible tax increases on landlord confidence.

The housing market continued to show weakness in October, with activity levels drifting lower amid a lack of buyer confidence, said Tarrant Parsons, head of market research and analysis at RICS.

Ongoing uncertainty surrounding potential measures in the upcoming Budget are thought to be compounding the cautious mood among both buyers and sellers, while above target inflation and rising unemployment are also a negative for the market, he said.

He added: The coming months will be crucial in assessing how the market responds to the Budget, which could prove a turning point in either direction. Greater clarity over housing taxation policy may help stabilise sentiment, but if the measures announced add further pressure to activity, they risk deepening the current slowdown.