This week was a gloomy retrospective of the past month highlighting how the UK property market continued to retreat from the economic onslaught. Rates rose alongside stock levels, which saw prices and agreed sales fall. Mansion tax inspectors were given permission to capture exteriors and fine those barring entry. First time buyers thought twice about their next move and the UK construction industry remained fragmented while repair and maintenance popped. Welcome to another UK Property News Recap – 13.11.2026.
UK Construction in 2026 remains entrenched in the economic mud
The Glenigan UK Construction Industry Forecast for 2027-2028 first noted a 13% overall decline this year with a 11% pick-me-up in 2027, and a 7% increase in 2028, predicted. This will largely be driven by infrastructure projects, the need for more data storage and amenities.
The appetite for new housing nosedived this year and is predicted to increase next year. Unless Glenigan knows something we all don’t, this will all depend heavily on a resolution in the East being sought, and agreed.
In the meantime, the construction industry remains running on hope.
A challenging year lays waste to new build numbers and Taylor Wimpey’s bottom line
Incentivising buyers to move remain at the forefront of the group’s agenda to shift stock as completions fell to 10,500 homes.
For the period from 29 June to 8 November 2026, when bulk deals were excluded, the group’s net private sales rate fell to 0.54 (2025: 0.61). As a result the outlook for the year has been trimmed back as affordability remains a stumbling block.
The happiest places to live
Our survey says…Rightmove finds Richmond Upon Thames as the happiest place to live in Britain. Kirkcaldy ranked highest in Scotland, and Monmouth in Wales. Overall the survey found 81% of people across Great Britain rate themselves as happy with where they live, compared with 9% who say they are unhappy. Presumably a lot depends on who actually has the time to vote but maybe that’s the point.
Mansion tax inspector gets to fine those who bar entry
For now, mansion tax inspectors have been given powers to take exterior pictures and use aerial photography without permission. This tells you next to nothing and could get heated should drones be deployed but for those thinking of barring entry; expect fines of £200 to £500 – a lot less than what you’ll get taxed…eventually.
October rates swell
According to Moneyfacts the average new mortgage rate rose by 0.06%, from 5.83% in October to 5.89% at the start of November, its highest point in three years. However for those looking to borrow with only a 5 to 10% deposit there was an abundance of choice but a rate starting with a 6. Meanwhile those with a more weighty deposit found a reduction in choice but a much more palatable rate to move on with.
With another base rate rise on the horizon expect further change
Prime sales fall in central London in October
Pre-budget jitters, mixed with existing taxation and affordability doubts saw the number of agreed sales and completions in central London fall 17.5% and 21.3% respectively when compared against last year’s efforts according to Lonres.
For flats the budget did little to dent morale given there was little left as only 72 sellers with apartments worth over £5m managed to sell this year alone. Extortionate service charges and increased stamp duty on second homes has driven foreign investors to fair-weather isles leaving only a small pool of buyers willing to press ahead.
Sales outlook remains gloomy for the foreseeable
An easterly wind froze demand and sales prematurely for October, bringing prices down with them. Only Northern Ireland, Scotland, the North West and Wales managed to hold out against the economic storm while the rest of the country took shelter. This meant sellers and buyers collectively retreated, causing valuations and new instructions to fall. As a result, the RICS surveyors outlook for the next three months worsened; many forecasting a dry spell for transactions.
A tricky sales market resulted in an uptick in rental demand as buyers weighted up affordability and risk, opting instead to see what the New Year would bring. This bumped up rental prices on those properties that remain in the sector for the foreseeable.
Repair and maintain takes precedence over building
Construction output is estimated to have decreased by 0.7% in the three months to September 2026. This was led by a sharp decline in new work which fell 4.7% however private repair and maintenance kept things ticking over, up 1.5%, as homeowners took steps to improve what they had rather than move on..
Developer Persimmon defies the gloom
I expect many developers were caught spitting out their tea to Persimmon’s trading update on Thursday. Sales and prices were up along with completion numbers. With a 3% uplift in future sales, investors were encouraged to buy, raising the group’s share price 5%.
Residential mortgage arrears continued to fall in Q3 but buy-to-let arrears and possessions numbers rose
Residential mortgages in arrears of 2.5% or more fell 2% against the previous quarter. Meanwhile buy-to-let arrears rose 3% and the number of properties taken into possession rose 10%. A marked increase when compared to residential possessions which remained unchanged. This clearly shows that investors are struggling to make ends meet if they can’t sell or make up for higher outgoings.
First time buyers question their next move as rates rise
The property portal Zoopla found first-time buyer enquiries fell 27% when compared against last year’s efforts causing agreed sales to tumble 10.5%. Buyers are opting to take advantage of the change in rental legislation that affords them a quick get away. From here they can assess rates and house price movements with the aim of making their move when economic conditions overall improve or the right property, at the right price presents itself. In the meantime stock is left to pile up; listings rising 9% year on year. Once again, hope is pinned on the new year, only this time there is little to go on that will bring about change.
Global Super Prime sales fall
The value of UK sales fell from third position to sixth in Knight Frank global Super Prime index in Q3. Despite just four fewer US$10mn+ homes changing hands in London in Q3 than in Q2. The amount spent fell from $1.46bn for 46 homes in Q2 to $722mn for 42 homes in Q3. Meanwhile, despite fewer transactions, preferential tax rates, enabled Hong Kong and Dubai to dominate the leaderboard.
Landlords feel taxed by the ongoing rise to their taxes
The Mortgage Lenders Association calculated that Buy-to-let owners on a salary of £100,000 or more face paying £1.24 to HMRC for every £1 of profit following the Chancellor’s decision to raise income tax on rental income by four percentage points from April next year. By increasing income rates on profits by 4% in April 2027, the government will have to accept the loss in stock and the reduction in stamp duty when sellers are forced to take a financial hit if they want rid.
This will fundamentally, maintain higher rents for tenants….well until the sales market once again becomes a viable option for tenants.
Evictions rose 21% before the Renters’ Rights Act was introduced
The Renters’ Rights Act was designed to better safeguard tenants but initially uprooted, between July and September this year, 28,249 people: 21% more than in the same period last year.
Many landlords questioned their return when rates alongside taxation rose. Exiting the market beforehand was an attempt to sell before being forced to wait 12 months should they not be able to. Some of these landlords will still be struggling to off-load their properties and so will turn to short letting in the interim. The knock on effect is more historic stock has been lost to the rental market, which no doubt needed money spent on them. This wouldn’t be a disaster if other investors were buying them but more often than not the numbers don’t stack.
That concludes this week’s UK Property News Recap – 13.11.2026. Any comments or questions please get in touch.
