Demand is still there but it’s price sensitive
I have been asked many times this week how the current international conflict is affecting the housing Market. In my opinion, we are seeing the immediate impact of this uncertainty play out most notably within the mortgage sector. In recent weeks, lenders have withdrawn a number of fixed-rate products, and we are seeing upward pressure on rates as the cost of funding shifts.
This has naturally created hesitation amongst some buyers and added complexity to the sales process.
There are currently over 1500 fewer mortgage products available on the market than two weeks ago and many lenders have withdrawn fixed rate products altogether. However, it is important to balance this with what we are experiencing on the ground.
At Property Perspective, we are currently running approximately 30% ahead in March 2026 compared to the same period in 2025. Encouragingly, viewing levels remain strong, and we continue to see a healthy flow of offers being submitted across our Part Exchange and Assisted Sale properties.
Deals agreed promptly
This reinforces a key point: demand has not disappeared but has become more sensitive to timing, pricing, and certainty.
Mortgage qualification early in the process and applications submitted without delay is of paramount importance. My advice to housebuilders is clear. In the current climate, securing a committed buyer quickly is more valuable than holding out for marginal price improvements, this applies to both the plot sale and to Part Exchange and Assisted Sale transactions.
The market is moving, but it requires decisiveness.
Deals agreed promptly are far more likely to progress smoothly to completion, whereas delays increase the risk of buyers being affected by changing mortgage conditions and the general increases in the cost of living which are in evidence.
As always, adaptability and realism will be key to maintaining momentum. An early end to this conflict would be good news on so many levels! Property Perspective Mortgage Perspective