Home sales in October reached 98,450, an increase of 2% compared to September, according to HM Revenue & Customs.
But this is 2% down on the same month last year.
By contrast commercial property sales plummeted 29% year-on-year in October, to just 10,250. This was, however, 2% higher than September’s figure.
Ins response, SPF Private Clients chief executive Mark Harris says: “Transaction numbers picked up in October as stability and consistency, as far as interest rates are concerned, encouraged buyers and sellers to press ahead with their plans.
“Lenders continue to trim their mortgage rates, a trend we expect to see more of in coming weeks, but they are likely to edge down rather than fall significantly.
“With perhaps two or three further base rate cuts expected by the markets, it’s good news for borrowers planning a move or remortgage in early 2026.
“While the era of rock-bottom rates has passed, most have adjusted to paying more for their borrowing.”
And MT Finance director Tomer Aboody says that in the light of the Budget’s failure to incentivise the market “it is difficult to see how transactions numbers will meaningfully improve. In the scheme of things, transaction numbers are low as the cost of moving is still very high.
“Assistance is needed in order to encourage buyers and sellers to move, and get the market functioning properly. An interest rate reduction early in 2026, if not at [December]’s meeting, would go some way to encouraging more activity.”
London estate agent and former RICS residential chairman Jeremy Leaf states: “Resilient transaction numbers suggest housing market activity will continue even without government assistance, which was so lacking in the Budget. This is vital as any drop-off in the number of transactions has a multiplier effect on the wider economy, not just the housing market.
“Transactions are a better barometer of market health than more volatile house prices, even though they reflect cash and mortgaged buyer activity perhaps three or four months earlier. As affordability gradually improves, especially with another base rate cut looking likely, we expect transaction numbers to pick up.”
And another London agent – Antony Roberts’ head of sales Amy Reynolds – comments: “While not yet reflected in these official, yet dated, figures, agents reported that activity slowed ahead of the Budget and now we are in the run-up to Christmas, we don’t expect this to improve significantly.
“However, we are hoping that the market will pick up in the New Year, particularly as the measures in the Budget didn’t turn out to be as bad as many feared.
“Unfortunately, nothing has got cheaper when it comes to moving, particularly stamp duty, so the pressure on the market remains as before and will do so until there is intervention to stimulate it.”
