Brokers are seeing sharper pricing discipline as more homes reach the market
Brokers say the housing market is entering 2026 with a clear shift in tone from sellers, as rising stock levels and tighter budgets bring an end to pandemic-era price expectations.
Zoopla recently highlighted the size of the current sales pipeline, the largest since 2021, and suggested that higher moving costs and increased supply would force vendors to take a more pragmatic approach next year. That call appears to match what advisers are seeing across the country.
Kevin Gibson of Ascot Bridging Finance said the market has already moved on. “We are definitely seeing sellers, especially upsizers and second-steppers, becoming more realistic as we head into 2026,” he said. “The market has moved on from the pandemic highs, and most people now understand that pricing sensibly is the best way to secure a buyer and keep their own onward plans on track.”
He added that the early months of the year could feel markedly different as more homes reach the market. “With more homes coming onto the market and affordability still tight, early 2026 is likely to feel more balanced and price-sensitive. Buyers will have more choice and will be cautious on what they pay,” Gibson said, noting that bridging finance was increasingly being used to keep chains moving.
The pattern of diverging outcomes is also becoming more visible. “In recent weeks I am seeing homes either sell quickly or stay on the market a while and end up needing a price reduction or two potentially,” said Tony Higham of Mortgage Success. He said political uncertainty had weighed on activity: “I am not sure if the uncertainty surrounding the budget has played a part in that. The budget was raised in a lot of conversations. With that now behind us, it might help the market.”
Higham said lending changes were starting to shift how much buyers could access. “With the recent announcements regarding the relaxing of income multiples and affordability it seems like the amount people can obtain is on the rise,” he said. But he warned that stretched household finances may cap how far buyers are willing to go: “I think house prices will probably stay steady… I think there is a lot going on in the world and that might hold people back from stretching themselves in the ways they may have done a couple of years ago.”
Rising supply is also reshaping expectations at a regional level. “I think that rising supply will put a hold on house price inflation as buyers have more choice,” said Martin Reynolds of SimplyBiz Mortgages. “As with everything there will be regional differences to this but having more choice will hopefully bring more buyers to the market.”
Reynolds added that affordability had eased slightly after lenders revisited their models. “Affordability pressures have lowered this year as lenders have restated their models and there is a sharp ongoing focus in this area with many new innovations from lenders,” he said.
While Zoopla anticipates modest price growth next year, brokers say the real determinant of momentum will be whether sellers stay grounded. As Gibson noted, “realistic pricing will be key to keeping the market moving.”
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