After a couple of slow years, the UK property market is finally showing signs of life. Confidence is creeping back in, and while borrowing costs still pose challenges, the overall mood is improving. Nowhere is this shift more noticeable than in Central London, where serious buyers are returning, deals are being agreed, and sellers are sensing the right moment to act.
The latest data from LonRes confirms what we’ve observed on the ground over the last six months: transaction volumes in April were 5.7% higher than the same period last year and nearly 9% above pre-pandemic levels. Supply has also improved. The number of new sales instructions rose by almost 30% compared to the 2017–2019 average, giving buyers more choice and showing growing seller confidence.
Yet even with this increase in stock, demand is keeping pace. In some highly sought-after residential pockets – especially areas with access to top-tier schools – properties are now attracting multiple offers and achieving sales within days. We are even seeing upward bidding return, something virtually absent during the quieter years.
While average PCL prices remain 2.9% below where they were a year ago, and still slightly under pre-pandemic norms, the rise in deal volume and the pace of market activity matter more right now than headline figures. It’s not just about where prices are, but that the market is functioning again. For homes priced above £5 million the stock levels are rising, too (up by 23% compared to last year) – giving well-informed buyers real choice at the top end of the market.
As we highlighted in our 2024 year-end article, when homes start selling, more people feel ready to make their move, and that’s precisely what we’re seeing. Sellers who were previously on the fence are now more willing to list, and buyers who delayed decisions are beginning to act – prompted by signs that interest rates may ease even further.
At AZ Real Estate, we’ve experienced this firsthand. One recent listing attracted dozens of viewing requests within days of going live. In April and May, we completed three transactions, found dream homes for three search clients, plus five sale instructions went under offer. We’ve facilitated the purchase of a high-end apartment in Chelsea, sourced a family house in Muswell Hill and a two-bedroom apartment in Marylebone for our acquisition clients. We are seeing strong interest from cash buyers across different price points.
We continue to work both as a sales agency and a buyers agency – because for us, that’s the yin and yang of every property transaction. It only makes sense that the same team can expertly guide both sides of the deal, as is already common in many global markets. In the UK, the idea of a dedicated buyer’s agent is still gaining ground, and it’s been a game-changer for our clients, opening doors to opportunities they wouldn’t have found otherwise.
In summary, London property market is waking up. It’s a good time to sell, with demand picking up and deals happening. And for buyers, more choice and slightly softened prices make this an attractive moment to enter or expand within one of the world’s most prestigious market.
If you’re considering a move, we’re here to offer insight and guidance tailored to your needs. Get in touch – whether you’re selling, buying or just curious about what’s possible in today’s UK market.
