Foxtons has reported a sharp rise in new homes sales across the capital in the first half of 2025, bucking the industry trend of weaker growth.
The London estate agent’s New Homes and Investments division sold 16.5% more new properties in H1 2025 than in the same period last year. The total value of new homes sold rose 2.2% year on year.
First-time buyers drove activity, accounting for 58.5% of transactions, followed by landlords at 25.4% and home movers at 16.1%.
Mortgage-backed purchases made up 72.6% of sales, but cash buyers – who can exchange in as little as 10 days – still represented 27.4% of the market.
LONG-TERM INVESTMENT
Joel Ellis-Duffy, New Homes Sales Director at Foxtons, says: “The London property market has continued to show why it is a great long-term investment over the first six months of the year, and the Foxtons New Homes team have made sure buyers, landlords and institutional investors have benefited from our expertise in navigating the market conditions.
FIRST-TIME BUYERS
And he adds: “Looking forward, it’s reassuring to see that first-time buyers account for by far the largest proportion of our new homes activity and that a good proportion of homes are being sold off plan.
“It’s a positive indication for H2 that, now London buyers are benefitting from improvements to the mortgage market landscape, they are pushing on with their plans to purchase. We expect this trend to continue, particularly as the government recently stated its intention to ease lending criteria further to support buyers.”
Foxtons’ performance in the first half builds on a strong 2024 for its new homes division, suggesting London’s primary housing market remains resilient despite higher interest rates and wider sector headwinds.
