Forecasts

Annual forecast trimmed by 70,000 as geopolitical uncertainty weighs on demand.

News organisation's poll of pundits suggests London prices will fall by an average of 0.3% in 2026.

Knight Frank, JLL, Savills and Strutt & Parker have all cut house price forecasts in the last few weeks. PrimeResi checks where the market stands as we head into H2.

'Market conditions have notably shifted' in the last six months, say analysts, as top-end price forecasts are scaled back again.

Property consultancy warns that 'conflict in Iran and the resultant rise in mortgage rates has fundamentally changed the outlook for the UK housing market.'

Property consultancy had expected PCL values to bottom out this year, but 'geopolitical headwinds' mean a further 5.5% decline is on the cards before 2026 is done.

The outlook is not rosy for either prime or mainstream markets this year, but the property consultancy senses a 'change in political direction' before 2030.

Agents from around Knight Frank’s global network share their takes on the neighbourhoods set to outperform, from New York & New Zealand enclaves to one of London's golden postcodes.

From shifts in pricing and transaction levels to new-build activity, the OBR has released fresh forecasts for how the prime resi market could be affected by 2028's new annual levy.

The capital's property market is likely to under-perform the rest of the UK in the short term - but CBRE says a 'chronic shortage of upcoming supply in London' means price growth is likely to accelerate…

But supply is likely to remain a big issue as landlord confidence slides in the face of significant regulatory & tax changes.

Cluttons and Strutt & Parker both believe the era of PCL price declines is ending.