Homebuyers are benefiting from the widest choice of homes in at least a decade with new housing supply reaching record levels during the first five months of 2026, according to the latest market data from TwentyCi.
The property intelligence firm found that almost 794,000 homes were newly listed for sale between January and May, up 2.7% on the same period last year and the highest level recorded in its dataset.
The increase in stock is creating a more balanced market after the heightened activity seen ahead of last year’s Stamp Duty changes, giving buyers greater choice and reducing some of the competitive pressures experienced in recent years.
While supply has strengthened, buyer demand has shown signs of softening. The number of properties moving to sale agreed fell by 4.1% year-on-year, although activity remains stronger than in 2023 and slightly ahead of 2024 levels.
PRICE FACTOR
The greater availability of homes is also influencing pricing. Average new instruction prices fell by 1.2% year-on-year to £441,400, although agreed transaction prices have remained broadly stable.
There were also encouraging signs regarding transaction quality. The proportion of sales falling through declined from 24.4% to 23.4%, while the overall volume of fall-throughs fell by 11.1%, suggesting committed buyers are continuing to progress transactions despite affordability challenges.
However, transaction times remain elevated, with the average period from sale agreed to exchange increasing to 132 days, or 4.3 months.
One area of concern is a slowdown in buyer activity during May. Sales agreed volumes were down 8.1% compared with May 2025, which could point to lower transaction volumes later in the year if the trend continues.
CHOICE MOVE
Colin Bradshaw (main picture, inset), Chief Executive Officer at TwentyCi, says: “The most striking feature of today’s housing market is the level of choice available to buyers.
“Supply is at its highest point in a decade, creating a far healthier environment for purchasers than we have seen for many years.
“While demand has softened compared with the stamp duty-fuelled market of early 2025, buyer activity remains resilient by historical standards and significantly stronger than we saw in 2023. The market is becoming more balanced rather than materially weaker.”
SUSTAINABLE MARKET
And he adds: “For lenders, there are encouraging signs beneath the headline transaction figures. Fall-through rates are improving, house prices remain remarkably stable, and buyers are entering the market with more choice and greater negotiating power. These are all characteristics of a more sustainable housing market.
“That said, the slowdown in sales agreed activity during May warrants close attention. Sales agreed are one of the clearest leading indicators of future mortgage demand, and if this trend continues we would expect it to feed through into lower transaction volumes later in the year.”
