Overview
- RICS’ December survey shows sales expectations at +22 for the next three months and +34 over 12 months, the strongest readings since late 2024.
- The mood improvement is tied to anticipated Bank of England rate cuts and reduced tax uncertainty after Rachel Reeves deferred most planned rises.
- Activity remains soft, with a sixth month of falling buyer enquiries and a net 19% reporting lower sales, while the headline price balance held at -14.
- Near-term prices are expected to be broadly flat, but a net 35% of respondents foresee increases over the next year.
- Regional divergence persists, with sharper declines in London and the South East versus growth in Scotland and Northern Ireland, and constrained rental supply points to roughly 3% rent growth as Knight Frank reports stronger early January demand and projects 3% price gains in 2026.