Following a stamp duty-fuelled surge in March, Q2 2025 saw completions cool and transaction volumes slow – despite record levels of stock and more competitive mortgage rates.
Landmark Information Group’s newly released Q2 2025 Residential Property Trends Report provides a detailed picture of property market activity across England, Wales and Scotland, revealing muted momentum as the market readjusts after the peak created by the Stamp Duty Land Tax (SDLT) deadline at the end of the previous quarter.
Completions rose by 30% over the first quarter compared to the same period in 2024, with a 79% year-on-year surge in March alone as buyers rushed to complete ahead of the deadline. A drop off was expected after the changes to SDLT leading to a fall below last year’s level as completion figures remained depressed across the quarter (21% below Q2 2024).
However, the data shows signs of market recovery are evident with SSTC volumes returning to 2024 levels in June – as well as search order volumes (up 2% across Q2) – with a gradual return to typical levels of completions in June 2025, tracking just 6% below June 2024.
The data suggests a strong ongoing desire to move with listing volumes in Q2 up 5% compared to 2024 levels. However, despite more stable rates and reported house price corrections, affordability remains the key barrier for buyers, holding demand from progressing and from unlocking valuable economic growth.
Offers and completions are also lagging as affordability constraints and complications created by long chains remain. Sold Subject to Contract (SSTC) volumes were 13% lower than last year through April and May and completion rates across the quarter were 21% below Q2 2024.
Comparatively in Scotland, where Land and Buildings Transaction Tax was not revised this year, the market shows a relatively stable picture. After dropping 11% from the end of Q1 to April, Sold Subject to Missives (SSTM) volumes rose again to 2024 levels in May and June.
Further demonstrating the strength of Scotland’s transaction process, completion figures continue to hold steady against 2024 volumes showing a minimal drop off (6% between March and April) in completions at the turn of the quarter.
Simon Brown, CEO, Landmark Information Group, said:
“This isn’t a market in decline, it’s a market in waiting. Sellers are active and the peak of activity ahead of the stamp duty change indicates an industry ready to move quickly as demand grows. The missing piece is momentum – and that will only return when affordability, rates and house prices are in balance.”
There’s opportunity here. With the right economic conditions and a continued focus on digitising the transaction process and addressing systemic inefficiencies, we can drive movement for the long-term and finally unlock the economic potential of the UK’s property market.”
