The rental sector saw significant easing in supply pressures last year, a new analysis shows.
There was a near 10% increase in the volume of properties coming to let in 2025 compared to 2024.
This is according to property consultancy TwentyEA.
Lettings Market
It says of the key drivers is net migration.
With existing residents leaving, previously occupied homes have been freed up, contributing to the rise in availability.
The average let agreed price in 2025 at £1,495 per month is on par with 2024, albeit this figure is derived from the type of rental stock available and the location.
A TwentyEA spokesperson says: “Outer London experienced the largest year-on-year increase in Let Agreed, rising by 14.1%.
“Wales also emerged as an increasingly attractive rental location, experiencing a 11.8% growth year-on-year.
“Northern Ireland was the only region to see Lets Agreed fall, with a decline of 6.3% compared to 2024.
“In terms of major cities, Cardiff and Leeds led the way with a 12% increase in Lets Agreed year-on-year.”
Sales Market
In terms of the sales market, the number of exchanges in 2025 nudged towards one million.
It finished the year at 986,665, 12.6% higher than in 2024.
Both new instructions and sales agreed volumes recorded modest year-on-year growth of 2.1% and 2.3%, respectively.
However, fall throughs, price reductions and withdrawn properties were all significantly higher last year than the prior year which are reflective of a greater number of transactions and a softening of the market in Q4.
The findings are part of TwentyEA’s latest Property and Homemover Report.
Fall throughs reached in excess of 300,000 throughout the year – 4.5% higher than 2024.
Price changes topped 1,000,000 – an increase of 10.8% and the number of withdrawn properties hit 803,612 – a marked rise of 7.6%.
