HMRC data points to recovering buyer confidence, but structural barriers persist
Seasonally adjusted residential property transactions in the UK rose slightly in June 2026, reaching 98,700 compared with 98,460 in May — an increase of less than 1%, according to HM Revenue & Customs (HMRC).
On an annual basis, transactions were 2% higher than in June 2025, a period when activity had been suppressed by buyers bringing purchases forward ahead of Stamp Duty Land Tax threshold changes in England and Northern Ireland.
UK residential property transactions by month, 2023–2026
Source: HMRC Property Transaction Statistics, July 2026
Note: These figures represent completions, typically two to four months after an initial offer. Seasonally adjusted figures remove predictable seasonal patterns to indicate underlying trends.
Non-seasonally adjusted residential transactions rose 11% month-on-month in June 2026.
For non-residential property, the latest HMRC figures showed that seasonally adjusted transactions in June were 2% higher than in May but 4% lower than in June 2025. Non-seasonally adjusted non-residential transactions increased 14% relative to the previous month.
"An increase in property transactions is an encouraging sign that buyers and sellers continue to have the confidence to move despite ongoing economic and political change," said Nathan Emerson (pictured right), chief executive of industry body Propertymark. "Healthy transaction levels are essential, not only for the housing market, but for the wider UK economy, supporting jobs, investment and local communities.
"Looking ahead, however, market confidence will depend on greater policy certainty. Recent discussions around potential reforms to Stamp Duty and council tax, alongside broader housing policy proposals from the new Prime Minister, have created questions for many consumers. People are understandably reluctant to make major financial commitments if they are unsure how future tax changes could affect the cost of moving.
"Housing thrives on confidence and stability. With interest rates having stayed the same following yesterday's decision, consumers and lenders now have greater clarity over borrowing costs, allowing households to make informed decisions about their next move. We now need that same level of certainty from government on its long-term housing strategy to help sustain market momentum."
Ryan Brailsford (pictured right), distribution director at specialist lender Pepper Money, said the annual rise reflected how far the market had adjusted from the previous year's fragility. "This time last summer, buyers were still adjusting to a run of much higher mortgage rates, and confidence across the market was noticeably fragile, so a step up on those numbers reflects a chunk of that adjustment now being absorbed," he said.
"Mortgage approvals have picked up over recent months, and some lenders have adapted their affordability criteria to reflect changing market conditions, while continuing to apply robust checks."
Brailsford, however, cautioned that the overall improvement masked persistent structural barriers. "Self-employed borrowers often have complex or fluctuating income that requires more individual assessment, and 76% believe their employment status makes it harder to secure a mortgage," he said.
"Yet the aspiration is clear: 80% hope to own a home, while around 300,000 self-employed adults with adverse credit expect to be in a position to buy within the next three years."
Brailsford also pointed to affordability rules as a constant barrier, particularly for single-income households and key workers. "That's a structural issue rather than a cyclical one, and it isn't going to resolve itself just because transaction numbers tick up," he added.
Richard Sexton (pictured right), managing director at Legal & General Surveying Services, said stronger transaction volumes did not diminish the need for rigorous risk assessment. "The housing market is not made up of identical properties or identical risks," he said. "While some straightforward cases can benefit from increasingly sophisticated data and automated approaches, more complex properties and specialist lending scenarios still require experienced professional judgement."
Sexton also highlighted regional variation. "Activity levels can vary significantly by region, property type and local market dynamics, with some areas experiencing stronger momentum than others," he said. "Understanding these regional nuances remains essential for lenders when assessing risk, setting strategy and ensuring valuations accurately reflect local market conditions."
Want to be regularly updated with mortgage news and features? Get exclusive interviews, breaking news, and industry events in your inbox – subscribe to our FREE daily newsletter. You can also follow us on Facebook, X (formerly Twitter), and LinkedIn.
