RICS Residential Market Survey March 2025

Key Takeaways

Buyer enquiries and agreed sales soften further

The March survey highlights a continued weakening in sales market conditions, with macroeconomic uncertainty impacting sentiment.
New buyer enquiries posted a net balance of -32%, a sharp decline from -16% in February and the weakest reading since September 2023.
Agreed sales also fell back, with a net balance of -16%, down from -13% previously marking the lowest level since late 2023.
Near-term sales expectations dropped to -18%, reflecting a subdued outlook. However, 12-month expectations remain mildly positive at +11%, despite softening over recent months.

New instructions show only a modest growth

New instructions recorded a net balance of +6%, indicating a slight increase in new listings but falling short of the six-month average of +17%.
Market appraisals remained firm, with a net balance of +20% reporting more activity than the same period last year.

House prices stabilising across the UK

The national house price indicator returned a net balance of +2%, down from +20% in January and +11% in February, pointing to a flattening in price growth.
Near-term price expectations turned negative, with a net balance of -26% predicting a fall in prices over the next three months.
Despite this, 12-month price expectations remain positive at +39%, suggesting that the current softness may be temporary.
Scotland and Northern Ireland continue to buck the trend, reporting stronger price momentum compared to other regions.

Rental market

Tenant demand picked up for the first time since October 2024, with a net balance of +20%, reflecting renewed interest across the lettings market.
Landlord instructions remained in decline, with a net balance of -24%, signalling continued pressure on rental supply.
Rental price expectations strengthened, with +31% of contributors anticipating higher rents over the next three months.