Following the release of today’s Office for National Statistics (ONS) figures, industry leaders across property, lending and specialist finance have shared their views on what the latest data reveals about house prices, rental costs and market momentum heading into the new year.
Property experts have since shared their reactions.
Nathan Emerson, CEO of Propertymark, comments:
“Now that any uncertainty regarding anticipated Stamp Duty reforms across England and Northern Ireland in the build-up to the Autumn Budget is behind us, we should see the flow of housing transactions returning to a much smoother and expected seasonal trend.
As we head into the new year, we traditionally see a positive uplift in activity with many people choosing to market their property directly after Christmas, as well as buyers firing up their ambition to move as we approach springtime.
Boosting the supply of new homes to meet an ever-increasing demand remains integral to overall house price stability. With firm promises from various governments across the UK, it will be a case of keeping a close eye on progress regarding precisely how many homes are completed as the new year plays out.
Though it might be disappointing for many to see that rents on average have increased overall, it is encouraging to see that through 2025, we have witnessed rental inflation trending downwards.
There remains an unhealthy imbalance between rental supply and demand, however, which continues to contribute to rental prices edging upwards. It has been positive to see attention focused on ensuring higher standards and greater consumer protection for those who choose to rent during the year; however, it also remains fundamentally important that investment is encouraged to keep pace with ever-growing demand, as the population continues to expand.”
Alex Upton, Managing Director, Specialist Mortgages & Bridging Finance at Hampshire Trust Bank, comments:
“While the pace of rental growth has slowed, 2025 still delivered significant increases, underlining how stretched the private rental sector remains. That pressure is not easing. The recent Budget has added to it, with the government’s own figures showing 2.4 million landlords will face higher taxes by the end of this Parliament. For some, that could be the point they call time on their portfolios.
Regulatory change continues to build. From energy standards to tenancy reform, landlords are being asked to adapt at speed, often without clarity. The Renters’ Rights Act will be another major shift in how property is owned and managed, and we are already seeing investors respond.
There is a clear move towards more complex asset types such as HMOs, semi-commercial units and mixed-use portfolios. That shift is not just about chasing yield. For many, it is about finding a way to stay in a sector that is getting harder to navigate. Brokers are seeing it play out on the ground every day.
Improving standards is the right ambition, but there is a line between raising the bar and pulling the rug. If pressure continues to build without recognition of the consequences, we risk weakening the very market people rely on. That is not a policy warning. It is already happening.”
Chris Storey, Chief Commercial Officer, Atom bank:
“This latest increase rounds off a year of steady growth for house prices. Despite the uncertainty around the stamp duty deadline earlier this year, and then the much-trailed Autumn Budget, the value of our homes has continued to rise.
It’s striking that while house prices are hitting new heights, affordability may actually be improving. Recent analysis from Halifax suggested that when comparing property prices to income, affordability is at its strongest since 2015. Given the expectations of further rate cuts to come and the competitive lending landscape, brokers should gear up for a positive start to next year as would-be buyers pursue purchases.
If rates do drop as expected, then we should expect to see further house price growth next year too, as the imbalance between supply and demand is not going anywhere in the short term. The challenge is for lenders to recognise the areas in the market where borrowers need the most support, and deliver the products and criteria which make home ownership achievable and affordable. Whether that’s borrowers with small deposits, the self-employed, or those with imperfect credit, the lending market must ensure we don’t end up in a situation where subsets of borrowers find it unnecessarily difficult to access mortgages.”
