Tom Hayman-Joyce comments:
“We closely measure the supply of properties marketed for sale in the North Cotswolds. For the majority of 2025, there has been in excess of 30% more properties marketed for sale than the ten-year average. This has led to a gentle softening of property values through the year. However, the oversupply has decreased to 18% in October, and November’s figures are looking similar. With a reduction in the availability of property, this is likely to lead to a firming up of prices as we move into 2026.
Looking at research from McKinsey & Company, household savings are 9.1% of salary. This is considerably higher than the pre-pandemic average of 1.9% and Bank of England data shows household bank balances across the country are rising by about £8bn a month. There is likely to be a time when this money starts being spent.
As I have written in many recent comments, the supply of money is abundant at present. Simply put, the banks are very keen to lend and will offer mortgages at higher affordability ratios (HSBC are offering 6.5 times income up to 90% loan to value). This is one of two key drivers of a property market. The second is confidence. As I write, I have just heard the budget, we now have certainty. It was a great deal more beneficial to the property market than had been mooted in advance. With this uncertainty behind us, we have felt an initial uplift in activity.
Therefore, I feel we are set for a normal, balanced market in 2026.
Talking of certainty, the Renters’ Rights Act has passed through Parliament, gained Royal Assent, and we now have an enactment date of 1st May 2026, for the lion’s share of the Act. This includes adoption of periodic tenancies, section 21 notices abolished, a cap on rent in advance, anti-discrimination measures, a ban on rental bidding, annual rent increases via section 13 notices only, and tenants’ rights to request a pet. Surprisingly, for the Decent Homes Standard and Awaab’s Law, there is no date for enactment, other than a consultation expected in either 2035 or 2037, leaving agents and landlords rather bemused. For more information on the Act please visit the Landlords’ Hub on our website haymanjoyce.co.uk.”