UK Residential Forecasts Q1 2025

UK property prices rose 3.6% in 2024, with sales volumes up 7% year-on-year, though still below pre-pandemic levels. Looking ahead, house price growth remains positive, influenced by affordability challenges and limited supply. 

Rental values increased by 9% in 2024, driven by ongoing supply-demand imbalances. However, the stretched affordability of tenants and lower headline inflation means the pace of rent growth is expected to slow. 

For comprehensive five-year forecasts on house prices, sales volumes, and rental values across the UK, read the full report.