Activity rebounded after an early-year fall, but volumes stayed below last year
Seasonally adjusted residential property transactions rose by 6% in February to 102,410, up from 96,940 in January, latest figures from the HM Revenue & Customs have shown. It was the strongest monthly total since March 2025, following a fall at the start of the year.
Despite the monthly increase, February’s total was 6% lower than a year earlier. Activity in February and March 2025 had been boosted by purchases brought forward ahead of changes to stamp duty land tax (SDLT) thresholds in April 2025.
On an unadjusted basis, residential transactions increased by 7% in February compared with January.
Source: HM Revenue & Customs
Non-residential transactions also moved higher. Seasonally adjusted volumes were up 2% on the month in February 2026, but 2% lower than in February 2025. After a decline in January, the February level was close to volumes recorded before November 2025.
Unadjusted non-residential transactions were 3% higher than in January.
Source: HM Revenue & Customs
“An increase in property transactions month-on-month for February is a positive signal for the housing market, suggesting a degree of resilience among buyers and sellers despite a challenging economic backdrop,” said Nathan Emerson (pictured right), chief executive of industry body Propertymark. “It indicates that there is still underlying demand, with many households continuing to press ahead with planned moves and purchases.
“However, with inflationary pressures building, partly linked to ongoing conflict in the Middle East, and the likelihood of this feeding through into borrowing costs and household finances, there is a risk that market conditions could become less stable in the months ahead.
“While activity has picked up, there remains a delicate balance between demand and affordability. Maintaining buyer confidence, ensuring mortgage products remain accessible, and supporting affordability will be key to sustaining momentum and preventing a slowdown as the year progresses.”
Mark Harris, chief executive of mortgage broker SPF Private Clients, also noted that when the data was recorded, lower mortgage rates was helping support activity in the housing market. “We saw a strong level of enquiries as buyers got on with moves that they had put on hold due to uncertainty over the Budget,” he said.
“Now, with the chance of further interest rate cuts on hold, and talk of rises if the war in the Middle East continues for a prolonged period of time, there is much volatility in mortgage pricing. Borrowers who will need a mortgage in the next six months should consider fixing now for peace of mind and in case rates rise further in the short term at least.”
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