Property Market Update | May 2026
A Market That Rewards the Right Approach
If the spring market felt like a moment of quiet optimism, May has introduced a few more moving parts. That's not a reason to pause, but it is a reason to be clear eyed about what's happening and what it means in practice.
The honest picture is one of a market that is holding up rather better than the headlines sometimes suggest, but where the conditions require a bit more care and consideration than they did a few months ago.
What the numbers say
House prices up 3.0% year on year in April, the strongest annual rise since May 2025 (Nationwide)
Average asking prices rose a further 0.8% in April to £373,971 (Rightmove)
Mortgage approvals for new purchases remain resilient, with 63,531 in March, broadly in line with a year ago
Stock levels are rising, with more homes available than at any point since mid 2023, giving buyers genuine choice
The Bank of England held the base rate at 3.75% in April, with rate cuts now looking less likely in the near term
Average two year fixed mortgage rates have risen to around 5.67%, up from 4.83% at the start of the year
The rise in mortgage rates is the most significant shift since our last update, driven largely by ongoing geopolitical uncertainty and its effect on inflation expectations. It has introduced a layer of caution into the market that wasn't there in January.
What this means in practice
The headline price figures look encouraging, and in many ways they are. But there is a gap opening up between what the indices are showing and what some agents are seeing on the ground, with values coming under pressure in places and price reductions running above the 12 month average.
What that tells us is that the market is not falling, but it is becoming more price sensitive. Buyers have more choice than they have had in years, and they are using it. Homes that are priced accurately and presented well are still moving. Homes that are not are sitting, and the longer they sit the harder the conversation becomes.
If you are thinking of selling
The window is still very much open, but the approach matters more than ever right now.
Price with real precision. With stock levels up and buyers more cautious, the homes achieving strong results are the ones that launched at the right number. Overpricing in this market tends to cost more time and money than it saves.
Presentation is doing more heavy lifting than ever. In a more considered market, the homes that feel genuinely well presented stand out more sharply against those that don't. Photography, styling and the story you tell really do make a tangible difference to early interest.
Don't wait for rates to fall. Nobody knows when or whether that happens this year. The buyers who are active right now are motivated and serious. That's actually a really good thing.
If you are buying
Rates are higher than they were at the start of the year, so getting proper mortgage advice early is more important than ever
With more stock available, there is genuine choice out there, but the best homes are still moving quickly when they are priced correctly
A mortgage agreement in principle gives you the confidence to act decisively when the right home appears
Our read on May
This is a market that requires a clear head and a considered approach rather than either panic or blind optimism. The fundamentals are still there. Prices are holding, buyers are active and serious sellers are achieving their moves.
What it rewards above everything else right now is preparation, honest pricing and presentation that does the home justice. Which, as it happens, is exactly what we focus on.
If you are thinking about making a move and would like an honest conversation about what the current market means for your specific situation, we would love to hear from you.
