A study of this year’s property marketand what will happen in 2026?
With only a few weeks to go before the end of the year, as a Sheffield City centre estate and letting agent, I wanted to share what has happened in both the UK and Sheffield City centre property markets in 2025, analysing the trends for Sheffield City centre homeowners, home buyers and landlords alike… and then compare them to previous years.
All statistics for each year are up to 16 November (to ensure a level playing field). Starting with the UK statistics, looking at new properties on the market (listings), sales agreed and houses sold (i.e. exchanged and completed).
The Number of Homes Coming on the Market in the UK
In 2023, 1,407,751 homes were listed for sale across the UK. That number rose to 1,521,906 in 2024 and 1,567,258 in 2025.
The average asking price of homes coming to market in 2023 was £422,722, with an average of £361 per square foot. In 2024, this increased to £430,868 and £372 per square foot. By 2025, the average asking price remained steady at £429,684, while the average price per square foot increased again to £383.
This rise in £/sq.ft wasn’t driven by broad price growth, but by a shift in the type of homes being listed. More smaller, lower-priced homes (which usually achieve a higher £/sq.ft) and more high-end properties (which also tend to sit higher on that metric) came to market. With fewer mid-priced homes in the mix, this change lifted the overall £/sq.ft price, despite headline asking prices barely moving.
The Number of Homes Sold in the UK
In 2023, 824,665 homes across the UK went under offer (sold subject to contract) at an average price of £356,026, equating to £331 per square foot. By the end of that year, 689,542 of those deals reached exchange and completion, achieving an average final sale price of £357,134, or £330 per square foot.
Fast forward to 2024, and both activity and values edged up. A total of 958,239 homes sold subject to contract at an average of £360,755 (£338 per square foot), while 734,148 reached exchange and completion at £355,168 and £332 per square foot.
Then came 2025, when the market found another gear. 997,472 homes were agreed upon for sale at an average of £362,703 (£334 per square foot), and 782,776 reached exchange and completion at £361,086 and £338 per square foot.
What’s striking is that while average prices have barely shifted year to year, the £/sq.ft figures reveal the real story. It’s not that homes are getting more expensive, but that the mix of what’s selling is changing. More smaller properties and more high-end homes both push up the £/sq.ft figure, even as overall prices remain broadly level. It's a reminder that the shape of the market can change the numbers just as much as the prices themselves.
The number of transactions has risen sharply, yet the average price paid for a UK home remains the same, and the £/sq.ft figure has remained broadly stable. In other words, house prices haven't really climbed, but the volume of sales has surged. And that matters, because the most accurate indicator of the health of the UK property market isn't house prices at all, it's how many homes are selling.
Such a marked shift in both activity and market composition warrants a closer examination to understand what is driving it and what it might mean for local markets, such as Sheffield City centre.
What’s Behind the UK Property Market’s Continued Stability?
Several key forces have fuelled the property market’s renewed momentum:
- Falling Mortgage Rates: As borrowing costs have eased, buyers who held off during the rate peaks of 2023 have started to return, restoring confidence and unlocking pent-up demand.
- Wage Growth: Steady, above inflation increases in earnings have strengthened affordability for many households, giving buyers greater confidence to take their next step.
- Low (but slightly rising) Unemployment: Although unemployment increased slightly in 2025, it remains close to historic lows. The job market remains strong enough to provide people with the security needed to commit to major purchases, such as a home.
- Evolving Lifestyles: Post-pandemic shifts in how and where people want to live continue to shape demand. Many buyers are still prioritising space, flexibility, and quality of life over simple location.
- Not Enough Homes Being Built: A growing and ageing population has collided with decades of under-delivery. The UK needs around 300,000 new homes every year to keep up with demand; yet, over the past 30 years, it has averaged only around 210,000 per year. That shortfall of roughly 2.7 million homes has created intense pressure on both prices and availability, leaving supply far behind where it needs to be.
Combined, these trends have helped sustain activity and sentiment in the housing market, even as wider economic conditions remain mixed.
Sheffield City Centre’s Property Market: A Comparative Analysis of 2023 vs 2024 vs 2025
In 2023, a total of 3,274 homes were listed for sale in Sheffield City centre, with an average asking price of £287,038. That same year, 2,122 properties were successfully exchanged and completed, achieving an average sale price of £280,960.
In 2024, listings edged higher as 3,495 homes came onto the market, with the average asking price of £297,064. The number of exchange/completions remained similar to the previous year, at 2,112 homes, with little change in the average price achieved at £281,495, indicating that well-priced homes continued to attract solid buyer demand.
By 2025, Sheffield City centre’s market found another gear. 3,798 homes were listed for sale at an average asking price of £291,870. 2,211 homes went on to exchange and complete, up 4.7% on the previous year, at an average sale price of £294,789.
What stands out is the steady rise in the number of homes being brought to market and the growth in completed transactions, even as achieved prices have held relatively stable. Sellers have become increasingly confident about listing their homes for sale, while buyers remain active, creating a healthier and more balanced property market in Sheffield City centre.
In short, Sheffield City centre’s property market has seen consistent progress since 2023. More homes are being listed, more sales are getting over the line, and the gap between asking and achieved prices remains realistic. It’s a sign of a market that’s maturing rather than overheating… steady, grounded, and underpinned by genuine demand rather than speculation. (Sheffield City centre is S1/2/3/6/10/11).
What About the 2026 Property Market?
Sheffield City centre's property market does not operate in isolation. It is shaped by a mix of local influences that often mirror national trends yet play out differently here. Employment levels, new infrastructure projects, and demographic shifts all affect local demand and supply for homes. Regional policies also play a part, influencing everything from development opportunities to rental dynamics. For homeowners and landlords alike, understanding these local nuances is crucial for making informed, well timed decisions.
As we move into 2026, the UK property market continues to show stability, but (and it’s a big but) Sheffield City centre won't follow the national picture exactly. Local variations will always matter more than national averages, and that is where real opportunity lies. Local market knowledge remains a significant advantage for Sheffield City centre homeowners looking to sell or landlords managing their portfolios. Knowing where your property sits within the Sheffield City centre market can help you spot opportunities and avoid pitfalls.
In the last two years, only half (53%) of the homes in the UK that came on the market actually sold, whilst in Sheffield City centre, it has been 68%.
That alone underlines the single most important rule in the Sheffield City centre property market: price your home realistically from day one. Every house has a price window where it attracts maximum interest. Start too high, and you miss those crucial first few weeks when the most motivated buyers are active.
Additionally, among UK homes that do sell, 53% sell within 35 days and 71% within 63 days. Selling quicker also increases your chance of getting to exchange and completion (i.e. you moving home). Denton House Research, after analysing over 2 million UK home sales, found that properties that see a buyer within 25 days of the home coming on the market have a 94% chance of reaching completion. Yet if the sale is agreed after 100 days of the home coming on the market, the chance of it completing falls to 56%.
Further evidence from Hamptons supports this. Analysing millions of home sales since 2001, they found that (excluding the Covid years) British homes typically sell within 0.9% to 1.3% of their final asking price. That’s the price before going under offer, not the original asking price if it was later reduced. This highlights the importance of setting the right price from the outset.
As an experienced local estate agent in Sheffield City centre, I understand the patterns behind these numbers. My goal is to help you set a realistic asking price that maximises your sale potential while achieving a strong market value. I study Sheffield City centre’s housing data daily, tracking what sells, what doesn’t, and why, so your home is priced to sell, not to sit. If you are planning to move in 2026 and want a professional, data led approach that works with the realities of today’s Sheffield City centre market, get in touch. Together, we will position your property to attract the right buyers quickly and secure a smooth, successful sale.
To find out more about the Sheffield property market contact the branch.
Branch Manager - Reeds Rains Sheffield
