Foxtons has reported double-digit growth in its financial services division in 2025 driven by higher levels of refinancing and stronger connectivity between its mortgage operation and estate agency network.
In an unaudited trading update for the year to 31 December 2025, the listed estate agency group said financial services revenue rose by around 10% year on year.
The increase was supported by a growing pool of remortgage opportunities, alongside higher new-purchase mortgage volumes following operational upgrades designed to improve productivity.
The group said improvements to systems and closer integration between advisers and its sales and lettings businesses helped drive increased adviser output during the year, despite wider housing market volatility in the second half.
KEY DRIVER
Overall group revenue rose by around 5% to approximately £172m, with adjusted operating profit of about £22m, broadly in line with 2024.
Lettings accounted for around 64% of total revenue, helping to provide earnings stability while sales activity slowed after the March stamp duty deadline and ahead of the Autumn Budget.
Looking ahead, Foxtons said refinancing activity is expected to remain a key driver for its mortgage arm in 2026, as borrowers continue to roll off higher-rate fixed deals.
While sales volumes are expected to be weaker in the early part of the year due to a lower under-offer pipeline, the group said recent mortgage rate reductions should support transaction levels once confidence improves.
ECONOMIC HEADWINDS
Guy Gittins (main picture), chief executive of Foxtons, said: “Despite economic headwinds and fiscal events creating uncertainty in our markets, the Group delivered acquisition-led revenue growth and continued to make progress against our strategy.
“Through continued progress against our growth strategy, and underpinned by our portfolio of high quality, recurring lettings revenues, we are confident in our ability to grow Group revenues and profits.
“Our focus remains on achieving our medium-term targets, including the delivery of £50m of adjusted operating profit.”
Foxtons is scheduled to publish its full-year results on 5 March 2026.
