Homes for sale reach highest levels in 10 years – Zoopla

February is on track to record the highest number of new home listings in a decade as the housing market continues to rebound, according to a new report.

Zoopla’s house price index reveals there are currently 6% more homes for sale than a year ago, with the property portal expecting this number to rise in the coming months.

The report also says that 40% of UK homes are now cheaper to buy than rent, supported by improving mortgage rates.

Strong desire to move home

Tom Bill, head of UK residential research at Knight Frank, warns that rising house sales are partly being driven by landlords selling up.

He said: “House prices are being kept in check by rising supply as plans delayed by last year’s Budget are activated and more landlords attempt to sell due to red tape. Buyers are more circumspect than sellers but further mortgage rate declines and increasingly realistic asking prices will support transactions this spring.

“The political noise hasn’t cut through to the mainstream housing market yet but we expect plans will be put on hold when the starting gun is fired on the Labour leadership race.”

According to Zoopla’s house price index, house prices have increased by 1.3% over the last 12 months to the end of January and Average mortgage rates for new loans are at their lowest level for four years due

However, Zoopla also reports house price growth remains subdued at 1.3% growth (12 months to January) compared to a year ago. This is versus 1.8% the previous year. to lower base rates.

Housing market remains positive

Richard Donnell, executive director at Zoopla, said that despite subdued house price growth, the housing market remains positive.

He said: “Despite improved levels of market activity, subdued house price inflation is good news for buyers and sellers and represents a more stable market. More sellers putting their homes on the market shows a strong desire to move home.

“Lower mortgage rates and improved affordability of mortgages means now could very well be the best time to buy a home in recent years, especially for first-time buyers with more homes available to buy for less than the cost of renting.

“We expect continued modest rates of price inflation over 2026, which will support healthy levels of sales with some wide variations across local markets. Sellers need to seek the advice of local agents to get the right strategy for their home.”

According to the report, Northern Ireland is registering the fastest rate of house price growth at 8% and across Great Britain, the North West is the strongest-performing region, with prices up 3.3% year-on-year, followed by Scotland (2.8%) and the North East (2.5%). In contrast, average prices in London are 0.2% lower than a year ago.

Southern England remains the softest market, with average prices broadly unchanged over the last 12 months. However, this marks an improvement on the more widespread price falls seen in the second half of 2025.

Industry reaction

Nathan Emerson, CEO of Propertymark, said rising house prices are not sustainable without more homes.

He said: “It is encouraging to see renewed confidence in the housing market, with more competitive mortgage rates and improved affordability checks helping more people step onto or move up the housing ladder. After years of cost-of-living pressures and higher interest rates, 2026 is showing signs of greater stability. With inflation dipping down earlier this month, it is hoped the Bank of England may have the confidence to bring the base rate down further when they next meet.

“At the same time, stronger price growth in parts of the UK outside London reflects changing working patterns and affordability considerations, as more people reassess where they can achieve a good standard of living.

“However, rising house prices are not sustainable without a significant boost to the supply of genuinely affordable homes. Meeting housing delivery targets will be crucial to ensuring long-term affordability and preventing buyers from being priced out of areas seen as more attainable.”