Spring 2026 UK property market: what the numbers actually show

The UK property market entering spring 2026 is defined by a contradiction: supply is at its highest level in 8 years, yet average asking prices have risen 1.6% year-on-year to £371,042 (Rightmove, March 2026). These numbers pull in opposite directions — and the tension between them is where the real story lies.

What is actually happening in March 2026?

Three data points matter more than any headline:

1. Supply is abundant. The number of properties listed for sale is at its highest level since 2018, according to Zoopla. This means buyers have choice — and choice suppresses urgency. If you’re selling, you are competing with more properties than at any point since before the pandemic. This is good for buyers and challenging for sellers who are not priced competitively.

2. Mortgage approvals are down. Bank of England data shows mortgage approvals running approximately 10% below the 2024 level. With Bank Rate at 3.75% and two-year fixed rates averaging 4.51% (Moneyfacts, March 2026), affordability is the binding constraint. The buyers who are active are serious — but there are fewer of them.

3. Asking prices are rising because of composition, not demand. Rightmove’s 1.6% annual increase is driven partly by the mix of properties coming to market. More detached homes and fewer flats skew the average upward even if individual properties are not appreciating. Always check the median, not the mean — and always check achieved prices, not asking prices.

Regional divergence is widening

Region	Average asking price	Annual change	Avg days to sell
London	£694,000	+0.3%	44
South East	£484,000	+1.2%	38
East Midlands	£278,000	+2.1%	32
North West	£253,000	+2.8%	29
Scotland	£198,000	+3.4%	23

Scotland’s faster sale times (23 days vs London’s 44) are not coincidental — they reflect a fundamentally different legal system where solicitors lead the process and offers are transparent. This structural advantage is worth noting for anyone frustrated with the pace of English conveyancing.

The stamp duty hangover

The April 2025 stamp duty threshold change — which reduced the nil-rate band from £250,000 to £125,000 and the first-time buyer threshold from £425,000 to £300,000 — continues to suppress activity at the lower end. First-time buyers purchasing at £350,000 now face £6,250 in stamp duty that would have been zero twelve months ago. This is not academic — it is cash that comes directly from the deposit, reducing what buyers can borrow.

The properties most affected are those just above the new thresholds: the £300,000-£350,000 bracket for first-time buyers, and the £125,000-£250,000 bracket for everyone else. If you’re selling in these ranges, price sensitivity is acute. A property at £305,000 generates stamp duty; a property at £299,950 does not. The pricing precision matters.

What should you do?

If you’re buying: You have leverage. Supply is high, mortgage approvals are down, and sellers are competing for a smaller pool of buyers. Take your time, use comparable sold prices (not asking prices) as your anchor, and don’t be afraid to negotiate — 28% of listings reduce their asking price before selling.

If you’re selling: Price correctly from day one. The first two weeks of marketing generate the majority of buyer interest. Overpricing and then reducing is more damaging than pricing at market value from the start. In a high-supply market, the properties that sell quickly are those that are priced competitively — not the ones with the highest asking prices.

If you’re waiting: The cost-of-waiting calculation is straightforward. Every month you wait, you pay rent (or pay mortgage interest on a property you plan to sell). If prices rise 2% annually, waiting 6 months costs you approximately 1% of the property value in appreciation — plus 6 months of housing costs. In most scenarios, the cost of waiting exceeds the benefit of a better deal.