Rightmove anticipates a significant increase in property market activity following the traditional Boxing Day boost, as buyers who delayed their plans due to uncertainty around the Autumn Budget re-enter the market. This development is particularly relevant for landlords and letting agents preparing for a potentially more active start to 2026.

Boxing Day bounce expected after Budget-related pause

According to Rightmove, nearly one in five prospective buyers postponed their moving plans pending the outcome of the Autumn Budget. This hesitation contributed to a larger-than-usual seasonal slowdown in December, with average asking prices falling by 1.8% (£6,695) to £358,138. This decline exceeds the ten-year average December drop of 1.4%, resulting in 2025 ending with average asking prices 0.6% (£2,059) lower than the previous year.

Regional variations were notable, with the North West experiencing the strongest price growth at 2.6%, London remaining flat at 0.0%, and the South West seeing the weakest performance with a 2.7% decrease. The uncertainty surrounding potential property tax changes introduced in the Budget, which circulated from as early as August, amplified the usual seasonal slowdown, particularly affecting higher-end London properties.

Rightmove reports a 24% increase in new sellers listing high-end properties in London in the week following the Budget compared to the week before, indicating a market response to the clarified fiscal environment.

Implications for landlords and letting agents

For landlords, the anticipated Boxing Day bounce suggests a renewed surge in tenant and buyer interest early in 2026. This period traditionally marks the start of increased home-moving activity, which can lead to higher demand for rental properties and opportunities to adjust rents in line with market conditions.

Letting agents should prepare for increased enquiries and viewings as buyers and tenants resume their search. The temporary slowdown caused by Budget uncertainty may have delayed transactions, but the expected rebound could accelerate lettings and sales processes in the first quarter of 2026.

Landlords should also consider the regional variations in price growth when reviewing their portfolios. Areas like the North West may offer better prospects for capital appreciation, while markets such as London remain stable but competitive.

Outlook for 2026 housing market

Rightmove forecasts that 2026 will see improved market conditions compared to the latter half of 2025, with buyer affordability expected to improve and activity levels rising. Average new seller asking prices are predicted to increase by 2%, signalling a modest but positive price growth environment.

Colleen Babcock, property expert at Rightmove, notes that a more stable economic environment and increased buyer confidence could support this growth. However, she emphasises that sellers will still need to price properties attractively and ensure they are well presented to stand out in a market where buyer choice remains high.

For landlords, this suggests that while rental demand may strengthen, competition among properties will persist, making property maintenance and presentation crucial to securing tenants promptly.

Preparing for the year ahead

With the market expected to rebound strongly after Boxing Day and maintain momentum into 2026, landlords and agents should plan accordingly. Monitoring market trends, adjusting rental values where appropriate, and maintaining properties to a high standard will be key strategies to maximise returns.

Additionally, staying informed about any further fiscal changes or policy developments remains important, given their potential impact on market dynamics.

Trusted Landlord Association update

The Landlord Association (TLA) is launching a new Trusted Partners Hub in Q1 2026. This platform will feature verified and approved service providers selected to support landlords, tenants, and property management businesses. Service providers specialising in legal, trades, insurance, financial, mortgage, tenant screening, and other related services are invited to register their interest here: https://landlordassociation.org.uk/become-a-tla-service-partner/.