Editor's note: This brief was summarised by The Property AI Newsroom from a report by Property Industry Eye. Read the original article for full details.

UK Property Market Shows Signs of Recovery in July 2026

The UK property market, which had been weaker throughout much of 2026 compared to the previous year, showed signs of improvement in July. Recent figures indicate that the gap between 2026 and previous years is narrowing, with July delivering a stronger finish than many had anticipated.

In week 30 of 2026, 24,700 homes were sold subject to contract (STC), bringing net sales back in line with 2024 levels. The number of new listings for the week was 32,800, slightly below the weekly 2026 average of 36,700 but close to the 10-year week 30 average of 33,800. Year to date, there have been 1.102 million new listings, which is 0.2% lower than 2025 but 3.9% ahead of 2024 and 11% higher than the 2017-19 average.

Gross residential sales for week 30 reached 24,700, with the year-to-date total at 740,000 homes sold STC. This is 7.1% lower than the same period in 2025, 0.2% lower than 2024, but 10.8% higher than 2023 and 6.5% above the pre-Covid 2017-19 average. Net residential sales for the year to date stand at 575,000, which is 5.5% lower than 2025, the same as 2024, and 13.2% ahead of 2023.

In July 2026, there were 46,600 exchanges and 43,500 withdrawals, with only 51.7% of homes leaving agents’ books exchanging and completing. This is below the seven-year average exchange-to-listings ratio of 57.6%.

Price reductions were seen on 23,100 homes in the week, with 13.7% of UK homes for sale reduced in July, down from 14.3% in June. The 2026 year-to-date average for price reductions is 13%, compared to a six-year average of 11.2%.

The difference between the average asking price of listings and those sold STC was 14.2%, with average listing prices at £409,000 and sale agreed prices at £358,000. The sell-through rate in July was 14.2%, up from 13.8% in June, but still below the pre-Covid average of 15.5%.

The fall-through rate for sales was 24.3%, close to the decade average of 24.5%. In June 2026, 5.07% of homes sold STC fell through, below both the 2025 average of 5.3% and the 10-year average of 5.8%.

Stock levels remained steady, with 767,000 homes on the market as of 1st August 2026, compared to 760,000 the previous month and 763,000 a year earlier. There were 487,000 homes in agents’ sales pipelines at the start of August.

These figures provide letting agents and inventory clerks with a detailed snapshot of current market activity, highlighting trends in listings, sales, price reductions, and stock levels.