London Property Market Update December 2025 – Prices, Rates & 2026 Forecast
In this month’s full market breakdown, Mark Epps (Director of Winkworth Blackheath & Greenwich) sits down with General Manager Steve Brown to unpack everything that’s happened in the sales and lettings markets across Blackheath, Greenwich, SE3, SE10 and surrounding areas. We cover house prices, mortgage rates, supply levels, demand, the Autumn Budget impact, landlord taxation, renters legislation, and our full forecast for 2026. This episode explains: • Why the late Autumn Budget put the market into a temporary “malaise” • What’s really happening with pricing (houses down 4–5%, flats down 7–10%) • Why stock levels and reduced pipelines are shifting momentum • Why the 600k–£1m family home market remains the strongest band locally • Why the £2m+ sector has struggled and when it may recover • Why mortgage deals starting with a 3% are returning and what this means for buyers • Why lettings enquiries have dropped to 10% of last year’s volume, and how affordability is driving behaviour • Why rents have now peaked and are down ~10% in recent months • What landlords MUST do now to avoid void periods • The 2026 outlook for buyers, sellers, investors & tenants Mark and Steve also discuss: • The new Welcome to Blackheath & Greenwich Community Channel • January’s landlord event covering the Renters’ Rights Bill • Upcoming videos with property tax specialist Mark Stamp on Making Tax Digital and incorporation ⏱️ CHAPTERS 00:00 – Introduction 00:35 – Autumn Budget Impact on the Market 01:14 – Renters Rights Bill & Landlord Event 01:53 – Making Tax Digital & Tax Planning 02:55 – Community Channel Announcement 03:44 – Summary of the 2025 Property Market 04:53 – Sales Pipeline, Stock & Demand 06:16 – Budget Headlines Explained 07:58 – Behaviour of Buyers & Sellers 09:30 – Impact on the Higher-End Market (£2m+) 12:03 – Mortgage Rates & Interest Rate Outlook 12:24 – Deals Available for Buyers & Landlords 14:20 – Local Stock Levels & Absorption Rates 15:08 – Pricing Trends: Houses vs Flats 16:10 – How to Price Correctly in 2026 17:11 – Houses vs Flats Performance 18:07 – Area Performance (e.g. Hither Green) 18:48 – Price Bands: What’s Selling Fastest 20:22 – Modern Flats & EWS1 Post-Grenfell 21:05 – Slow Bands: £300k–£400k Market 21:22 – £1.5m+ Market Challenges 22:34 – Upper-End (£2m+) Market Breakdown 24:01 – International Buyers, Canary Wharf & Brexit Impact 26:37 – Outlook for High-End Stock 27:32 – Agent Communication & Client Care 28:44 – Lettings Market Overview 30:27 – Rents Peaking & Enquiry Volume Drop 31:33 – Supply Levels in Local Lettings Market 33:11 – Affordability & Void Periods 34:43 – Tenant Demand – What’s Working 36:01 – Predictions for Sales in 2026 38:08 – Predictions for Lettings in 2026 39:56 – Advice for Selling or Letting in 2026 41:33 – Why Choose Winkworth Blackheath & Greenwich 43:41 – Closing Remarks ✨ Enjoying the content? Make sure to subscribe and check out my new community channel: Welcome to Blackheath & Greenwich — featuring local stories, businesses, and behind-the-scenes moments: / @welcome2blackheathandgreenwich #LondonPropertyMarket #PropertyUpdate #GreenwichLondon #BlackheathLondon #MortgageRatesUK #PropertyPricesUK #LettingsMarket #Winkworth
