Not going to lie, this is a stat-heavy one - and there's a reason for that. Every property decision you make in 2026 needs to be backed by what's actually happening in the market right now. Not last year's headlines. Not estate agent optimism. Real numbers from real transactions. Can you see what's emerging? The data tells a story most people are missing. While everyone's debating whether prices will crash or soar, the smart money is watching three critical shifts happening simultaneously. London sales hit a 20-year low. Rental growth dropped from 4.6% to 2% in twelve months. Yet mortgage rates are falling faster than predicted. Here's what the numbers actually mean for your next move... Market Overview: Steady Foundations Despite Headline The North East continues to outperform the national picture. Whilst UK house prices fell by 0.1% in October , our region recorded the strongest monthly increase at 1.3% and the highest annual growth at 5% . The average property price in the North East now stands at £163,000 – significantly below the national average of £270,000, creating substantial opportunities for investors. Recent Halifax data showed house prices dropped 0.6% month-on-month in December , bringing the average UK property price to its lowest level since June 2025. However, this typical Christmas season slowdown masks the underlying resilience of regional markets like ours. Interest Rates: The Turning Point We've Been Waiting For December brought the news many investors have been anticipating. The Bank of England cut the base rate to 3.75% , marking the sixth reduction since August 2024. More importantly, the Bank signalled that "Bank Rate is likely to continue on a gradual downward path" if disinflation continues. This is significant for property investors. Lower rates reduce mortgage costs and make property investment more attractive relative to savings accounts. The Bank noted that inflation has fallen to 3.2% in November from 3.6% in October , providing scope for further cuts in 2026. Regional Spotlight: Why the North East Continues to Deliver Price Performance: North East properties averaged £163,000 in October Annual growth of 5% – the highest in England Monthly growth of 1.3% – again, leading the nation Semi-detached properties up 3.8% annually Terraced houses up 2.4% annually Rental Market Dynamics: The combination of affordable purchase prices and strong rental demand creates compelling yields. With mortgage rates already reducing following the latest base rate cut , the arithmetic becomes even more attractive for buy-to-let investors. The London Contrast: Capital Struggles Whilst the North East thrives, London experienced the biggest monthly price fall at -1.9% and the lowest annual inflation at -2.4% . Average London prices now stand at £547,000 – more than three times our regional average. For yield-focused investors, the numbers speak clearly about where opportunity lies. Transaction Activity: Steady Despite Uncertainty UK transactions in October totalled 98,000 on a seasonally adjusted basis , just 2.1% lower than the previous year. More encouraging, transactions increased 1.8% between September and October, suggesting renewed confidence following the Autumn Budget clarity. The Bank of England noted that mortgage approvals decreased to 65,000 in October , but this reflects broader economic caution rather than fundamental market weakness. From the UK House Price Index (October 2025 data, published December 2025): North East: Average price: £163,000 (October 2025) Annual change: +5.0% (highest in England) Monthly change: +1.3% (highest in England) 20 repossession sales in August 2025 (second highest after Yorkshire) Yorkshire and the Humber: Average price: £206,000 (October 2025) Annual change: +3.1% Monthly change: -0.2% 21 repossession sales in August 2025 (highest volume) UK Labour Market Data from Government Sources (December 2025) From Bank of England Monetary Policy Committee Minutes (December 2025): UK unemployment rate rose to 5.1% in the three months to October 2025 Redundancy rate rose to 5.3 per 1,000 employees - highest since 2013 outside Covid Average Weekly Earnings growth declined to 4.7% in three months to October Private sector regular pay growth fell to 3.9% Employment growth remained subdued according to HMRC payrolls data Our Thought Looking at these numbers, there's something most people are completely missing. Everyone's watching the obvious stuff - falling prices here, rising rates there. But the real opportunity is in the disconnect between what the headlines say and what's actually happening locally. The North East posts 5% growth whilst national uncertainty fills the news. Here's what we're seeing: people who wait for "perfect clarity" never move. Those who focus on what's really happening in our region over scary headlines do well. The numbers don't lie. Neither do the returns we're seeing. Property investment isn't about predicting the future perfectly or getting spooked by headlines. It's about focusing on facts, not fiction - making decisions based on what makes sense today, whilst others worry about tomorrow's what-ifs. his blog post was written by Chris and Anthony Hunter, founders of Chant Properties Ltd. The information provided is based on market data available as of December 2025 and represents our current understanding of the property market. Always seek professional advice before making invest ment decisions.
Renters Reform is locked in – so what now? November brings the reality of these changes into sharper focus, alongside the usual Budget considerations. If you're a landlord, especially one who's not doing this full-time, it's time to get to grips with what it all means. Is the government making life harder for landlords? Maybe. But the real question is: how do you adapt and thrive in this new landscape? Budget 2025: Key Property Updates from Government Sources 1. High Value Council Tax Surcharge The government is introducing a new High Value Council Tax Surcharge for residential properties worth over £2 million in England, starting April 2028. The charges will be: £2,500 per year for properties worth £2-5 million £7,500 per year for properties worth over £5 million This affects fewer than 1% of properties and will be paid by property owners rather than occupiers 2. Property Income Tax Changes From April 2027, the government will create separate tax rates for property income : Property basic rate: 22% Property higher rate: 42% Property additional rate: 47% This applies to England, Wales and Northern Ireland. The government will engage with devolved governments of Scotland and Wales regarding setting their own property income rates 3. Business Rates Reform The government is introducing permanently lower business rates for retail, hospitality and leisure properties with rateable values below £500,000: Small business RHL multiplier: 38.2p (down from 49.9p) Standard RHL multiplier: 43p (down from 55.5p) This is funded by a higher rate for properties worth £500,000+, set at 50.8p 4. Housing Investment The government is committing to deliver 1.5 million homes in England this Parliament, backed by: £39 billion Social and Affordable Homes Programme over 10 years £16 billion National Housing Bank At least three new towns with 10,000+ homes each The National Housing Bank will be headquartered in Leeds as part of a financial services cluster 5. Inheritance Tax Changes The government will maintain the nil-rate band and residence nil-rate band at current levels for a further year until April 2031. The £1 million allowance for 100% rate of agricultural and business property relief will also be transferable between spouses and civil partners 6. Planning Reforms The government is implementing the most ambitious planning reforms in a generation through the Planning and Infrastructure Bill, which aims to: Speed up major infrastructure delivery by up to 12 months Enable "default yes" to development around train stations Add 170,000 homes through reformed planning rules The OBR estimates these reforms will add £6.8 billion to the economy Renters' Rights Act Phase 1: 1 May 2026 The core reforms will take effect, including: Abolition of Section 21 'No Fault' Evictions Landlords can no longer evict tenants without a specific reason End to the practice that has pushed thousands into homelessness All assured tenancies become periodic (rolling contracts) New Tenancy Structure All new and existing tenancies become Assured Periodic Tenancies Tenants can stay as long as they want (until valid grounds for eviction) Tenants can end tenancy with two months' notice Reformed Possession Grounds Landlords can only evict with valid reasons such as: Selling the property Moving in themselves or close family member Tenant rent arrears or anti-social behaviour Extended grounds for serious persistent rent arrears and anti-social behaviour Rent Controls Rent increases limited to once per year Landlords must give at least 2 months' notice of increases Tenants can challenge excessive above-market rents designed to force them out Ban on Rental Bidding and Advance Payments Illegal to ask for or accept offers above advertised rent Cannot request more than 1 month's rent in advance Anti-Discrimination Measures Illegal to discriminate against tenants with children or on benefits Must base decisions only on financial suitability Pet Rights Tenants have right to request pets Landlords must consider requests and cannot unreasonably refuse Initial 28-day consideration period for landlords Strengthened Enforcement Enhanced local council powers and civil penalties Rent repayment orders extended to superior landlords Maximum penalties doubled for repeat offenders Phase 2: From Late 2026 Private Rented Sector Database Mandatory registration for all PRS landlords from late 2026 Annual fee required (amount to be confirmed) Must provide: Landlord contact details Property details (address, type, bedrooms, occupancy) Safety information (Gas, Electric, Energy Performance Certificates) Private Rented Sector Landlord Ombudsman Mandatory scheme for all landlords (expected 2028) Binding dispute resolution service Powers to compel landlords to: Issue apologies Provide information Take remedial action Pay compensation Phase 3: Dates TBC (Subject to Consultation) Decent Homes Standard Applied to PRS for first time Properties must be safe, well-maintained and free from serious hazards Consultation proposed implementation for either 2035 or 2037 Awaab's Law Extension Clear legal timeframes for landlords to address serious hazards Particularly focuses on damp and mould issues Empowers tenants to challenge dangerous conditions Energy Efficiency Standards Consultation on requiring all PRS properties to meet EPC C or equivalent by 2030 November Newsletter - Budget Disappointment & Renter Reform Thoughts Well, the UK budget arrived, and... it was a bit of a letdown, wasn't it? Not much in there to really grab your attention. It feels like the government's nudging everyone to get their money working harder through investments, rather than letting it sit in a bank. And that's a point we've been making for ages! While everyone's been waiting and watching, those who've already invested with us have been reaping the rewards. On the Renters Reform Bill, we reckon about 90% of it is just good, common sense – stuff we're already doing as standard (and often going above and beyond). As for the other 10%, we're waiting for the full picture to emerge before we make a judgement. The bottom line? If you're in property to make money, it's a business. Treat it that way, and you'll see the difference. This blog post was written by Chris and Anthony Hunter, founders of Chant Properties Ltd. The information provided is based on market data available as of November 2025 and represents our current understanding of the property market. Always seek professional advice before making investment decisions. Please fact-check all information before publishing, particularly the statistics, dates, and specific details about policy changes.
