Unoccupied homes in the UK are at an 11-year high, opening a major growth opportunity for intermediaries who move quickly
Latest property market research highlights that the number of unoccupied residential properties in the UK has reached its highest level in over a decade.
As a fast-growing niche insurance business and specialist in non-standard insurance, we keep a finger on the pulse of market trends. According to our data, annual policy quotations for unoccupied property insurance have surged over the past few years, with 2025 having almost 500% more sales than 5 years ago.
The figures represent an average 30% year-on-year increase in unoccupied property policy volumes, reflecting a greater need for responsive specialist insurance cover to protect properties left empty for longer than standard policy terms will allow.
Furthermore, it points to a growing market opportunity for intermediaries seeking to differentiate themselves in an increasingly competitive landscape.
Why the increase in demand?
The surge in demand for unoccupied property insurance volumes mirrors the broader trends we are witnessing in the UK housing market. Government council tax data analysed by Action on Empty Homes recently revealed that long-term empty homes hit 303,143 in November 2025, their highest level in 11 years.
Several factors are driving this trend, including a sluggish property market, a prolonged cost-of-living crisis, an increasing number of landlords facing longer periods of vacancy, probate/death-related delays, second homes, and high materials costs impacting homeowners undergoing property builds and renovation projects. Foreign buying and “buy-to-leave” investments, particularly in London, is also a contributing factor.
Why the need for specialist cover?
The growth in unoccupied property insurance demand stems from the fact that most home and landlord insurance policies only cover properties when unoccupied for 30 to 60 days. This leaves property owners incredibly vulnerable and unprotected against risks such as theft, escape of water, and malicious damage when they fall outside of this period.
In fact, specialist unoccupied property insurance is no longer a niche requirement. 75% of brokers now identify unoccupied homes as a top growth area, up from 55% just one year earlier. This recognition reflects the reality that clients face genuine risk without proper protection.
Intermediaries with the general insurance relationships to offer unoccupied property insurance can differentiate themselves and address a pain point for the growing number of property owners navigating the genuine risks faced by not having the proper protection in place. These clients include those with properties awaiting sale, homes under renovation, probate situations, holiday lets outside peak season, or rentals between tenants. All of whom face potentially devastating financial consequences.
It’s time to educate clients and grab your share of this growing market opportunity.
Educating clients is vital. Many property owners don't realise their standard policy is inadequate until they attempt to file a claim. Proactive conversations about upcoming tenancy void periods or extended periods of unoccupancy can position you as a trusted advisor capable of proactively addressing even their most complex needs. Brokers are increasingly looking to diversify their product portfolio – reaching into complementary growth areas. Unoccupied cover is growing alongside the growth in Bridging Finance in the UK each year for example. In Q3 2025, gross bridging-loan transactions among major providers reached £209.4 million, up 4.9% from the prior quarter, signalling renewed demand even amid economic uncertainty. According to some lenders’ forecasts the bridging-loan market is on track to reach £12.2 billion by the end of 2025.
Advising on these areas that are increasingly in demand not only differentiates your business but helps keep clients sticky and ensures you build lasting relationships based on the delivery of added value and improved outcomes.
Now’s the time to act. The demand for unoccupied property insurance is unlikely to slow down in 2026, following the continued cost-of-living crisis and increased taxes clients face as a result of the November budget announcement. Housing market conditions remain challenging, probate delays persist, and the stock of empty properties continues to grow.
Intermediaries who can position themselves to respond to this and other emerging risks will benefit. As our data demonstrates, the unoccupied trend is not just growing, it’s accelerating. Intermediaries with the right general insurance relationships can differentiate, demonstrate value, and build sustainable competitive advantage as we head into 2026.
