The UK housing market is set to experience a significant rebound in 2025, with sales completions projected to rise from 1.1 million in 2024 to 1.5 million, according to Zoopla’s latest forecast.
This renewed momentum is expected to be driven by improved affordability and income growth, which are anticipated to encourage a greater number of home moves.
FIRST-TIME BUYERS
First-time buyers are predicted to remain the cornerstone of the housing market, playing a pivotal role in sustaining transaction chains and facilitating moves for existing homeowners.
As the largest buyer group, their activity will be instrumental in driving overall market health and unlocking opportunities across the housing spectrum.
Indeed, Zoopla’s analysis highlights the importance of this demographic in maintaining market liquidity, particularly as affordability conditions improve.
Enhanced earning power and stabilising interest rates are expected to bolster first-time buyers’ purchasing confidence, sustaining demand in this critical segment.
MODERATE HOUSE PRICE RISE
As well as the predicted surge in transactions, Zoopla forecasts a moderate 2.5% rise in house prices for 2025.
While this represents a return to growth, the increase remains measured, reflecting an evolving balance between supply and demand.
The forecast came as Zoopla revealed most viewed home on the portal in 2024 was a Disney-themed property in Rhyl, Wales which went viral in September.
The nondescript three-bed semi-detached home with a Disney interior was marketed by Elwy Estates and viewed on Zoopla 219,000 times.
Other properties on the most viewed list for 2024 include a three-bed terraced home in Horley, Surrey for £280,000 and a two-bed terraced home in Barry, Wales, located on the famous Gavin and Stacey road.
The most expensive property sold on Zoopla 2024 was located in Beverly Hills, California and was listed on Zoopla for a whopping £67,615,715.
