The first half of 2026 has reminded us how quickly sentiment can change within the mortgage and housing markets.
After a fairly stable and promising two months, we moved into March which heralded a rush of remortgage activity as advisers worked tirelessly to secure products before lenders withdrew deals and repriced their ranges.
By comparison, the second quarter felt considerably calmer, with activity settling into a more familiar rhythm and purchase and sale transactions quietly demonstrating greater resilience than many expected.
Our latest conveybuddy data reflected exactly that. Sale and purchase transactions increased as a proportion of overall instructions during Q2, while remortgage activity dipped following the exceptional surge of March.
Those figures also reinforced the point we made in early June, namely that much of the commentary around a slowing transaction market appeared to confuse remortgage normalisation with weakening purchase activity.
Viewed in isolation, and moving through Q2, it looks like a relatively healthy and balanced period for the market. The question is whether we will eventually look back on it as the calmest quarter of the year?
UNCERTAINTY IS BEGINNING TO RETURN
There is certainly no shortage of issues that could influence activity during the months ahead. Renewed tensions involving the United States and Iran have once again raised concerns about inflation and energy prices, both of which have the potential to affect funding markets and, ultimately, mortgage pricing.
At the same time, we are entering a period of political change, with – as I write – a new Prime Minister, Andy Burnham, expected to arrive along with fresh debate about his anticipated housing policies, planning reform and the possibility of wider changes to property taxation.
Whether any of those proposals ultimately become Government policy is almost secondary. Housing markets rarely wait for legislation before reacting. Buyers, sellers and landlords often adjust their behaviour as soon as uncertainty appears, particularly where taxation or affordability could be affected.
Added to that is the reality of the summer period itself. Holidays, school breaks and reduced staffing across many parts of the property sector can all influence transaction timescales, making it more difficult to interpret short-term market data.
None of this means we should expect activity to fall sharply, but it does suggest Q3 may prove considerably less predictable than the quarter that has just ended.
ADVISERS SHOULD FOCUS ON WHAT THEY CAN CONTROL
Periods of uncertainty often encourage people to spend too much time trying to predict the next headline. Will rates move again? Will taxes change? Will buyers pause? Will lenders alter pricing?
Those questions are understandable, but they are also largely outside an adviser’s control. What advisers can influence is the quality and frequency of their communication with clients.
Potential purchasers who have not yet committed may simply need reassurance that the market has not stopped functioning. Existing borrowers approaching the end of fixed-rate deals still require proactive contact regardless of wider economic events.
Clients considering a move may benefit from understanding the practical implications of acting sooner rather than later, particularly if policy announcements begin to dominate the headlines during the autumn.
The advisers who perform consistently well are rarely those who predict every market movement correctly. They are usually the ones who maintain regular conversations with clients and help them make informed decisions based on their own circumstances rather than media speculation.
EVERY CLIENT RELATIONSHIP PRESENTS AN OPPORTUNITY
Periods of greater uncertainty should also encourage advisers to look more closely at the value they provide across the entire client relationship.
A mortgage recommendation is rarely the end of the conversation. Protection, general insurance, surveys and conveyancing all play an important part in helping clients complete their transaction successfully. Existing clients may also present opportunities for reviews long before they actively contact their adviser again.
That does not mean trying to sell additional products for the sake of it. Instead, it means recognising that clients often need support across several areas of the homebuying process, particularly when markets become more complicated.
Our own figures continue to show advisers placing significant value on transparent pricing and certainty around conveyancing costs. They also increasingly expect better communication throughout the conveyancing process because they recognise securing the mortgage is only one part of delivering a successful client outcome.
STABILITY SHOULD NEVER LEAD TO COMPLACENCY
It is entirely possible that, by the time we reach the end of the year, Q2 will be remembered as the most stable quarter of 2026. If renewed geopolitical pressures, political change and wider economic uncertainty all begin to influence client behaviour, advisers could once again find themselves operating in a much more reactive market.
That should not be viewed as a reason for concern. If anything, it reinforces the value of professional advice. Markets will always experience periods of uncertainty, but clients still need trusted guidance, clear communication and practical support throughout the buying, selling and remortgaging process.
The advisers who remain close to their clients, continue reviewing existing relationships and pay as much attention to the journey after the mortgage recommendation as they do to the recommendation itself will be the ones best placed to navigate whatever the remainder of 2026 has in store for us.
