Market Comment (November 2025) - Seeking Clarity At End of Year
The London property market continues to shift as we head towards the end of 2025. Here's what's been happening across the capital and what it means for homeowners considering a move.
Budget Uncertainty Slows Market Activity
The run-up to the Autumn Budget created noticeable hesitation amongst both buyers and sellers. London recorded the largest yearly fall in asking prices at 2.1%, with the average London home now sitting at £556,000 after dropping 1.8% annually – making the capital the only UK region to see property values decline.
Inner London has been particularly affected, seeing prices drop by more than 3% year-on-year. This isn't necessarily a sign of distress, but rather reflects how quickly sentiment shifts when fiscal decisions loom on the horizon.
Price reductions are rising – across Britain, homes with reduced asking prices increased by 14.8% between October and November. Sellers are clearly adjusting expectations to secure interest in a cautious market.
Despite the uncertainty, there's positive news. Supply and demand remain resilient, both up 3.3% and 4.1% respectively. The demand-to-supply ratio stands at 72.4%, the highest since 2022, suggesting underlying strength once clarity returns.
The £25 Billion Stamp Duty Bill
London homebuyers have collectively paid almost £25 billion in Stamp Duty over the past decade. Westminster and Kensington & Chelsea alone contributed more than £6.2 billion during this period.
This figure highlights the enormous cost of simply purchasing property in prime central London. However, it's worth remembering that the London property market is far more diverse than media headlines suggest. Properties in Leytonstone and surrounding East London areas remain considerably more affordable than these prime locations, offering genuine value without the eye-watering tax bills.
Leytonstone: London's Fastest-Selling Area
Speaking of value, it's always encouraging to see positive coverage of our local area. Recent research from Rightmove identified Leytonstone as London's fastest-selling residential area, with homes spending an average of just 34 days on the market – half the London-wide average of 70 days.
Why the rapid sales? The combination of affordability (average prices around £533,836), excellent transport links via both the Central line and London Overground, proximity to green spaces like Epping Forest and Wanstead Park, plus a thriving community of independent cafes, shops and newly refurbished pubs creates genuine appeal.
The Metro's coverage reinforces what local agents already know – East London continues its renaissance, offering first-time buyers and families quality housing without the premium price tags of other London areas.
Britain's Property Browsing Habit
Here's an interesting insight into how people engage with property: 28% of UK adults admit to browsing property websites simply to look inside their neighbours' homes. The South East reports particularly high rates at 35%, whilst London sits slightly lower at 24%.
What people focus on: Interior styling tops the list at 41%, followed by a building's character at 38% and layout at 33%. This suggests browsing has become as much about lifestyle inspiration as serious house hunting.
Understanding Your Local Market Matters
These headlines tell part of the story, but every neighbourhood has its own dynamics. Whilst some areas see values stagnate, others – like Leytonstone – maintain strong demand. Whilst uncertainty affects some price brackets more than others, resilient fundamentals suggest recovery once clarity returns.
The key is understanding your specific situation – your property type, your local area's performance, current buyer demand in your segment, and realistic pricing in today's market.
We make sure you make an informed move
If you would like to learn more about Leytonstone, what the area has to offer, and how to achieve your goals in the local property market, we can help. To arrange an appointment, call us on 020 8558 1147 or send us an email at info@tradingplacesproperty.com
You will find Trading Places Estate and Letting Agents at 46 Church Lane, Leytonstone, London, E11 1HE; and we look forward to assisting you.
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