The House of Commons Library has released its regular review entitled ‘Housing market: Economic indicators‘

It can be seen here and in summary says:

House Prices Continue to Rise

• Annual growth: UK house prices rose by 6.4% between March 2024 and March 2025.

• Monthly trend: Prices increased 1.4% from February to March 2025 (seasonally adjusted).

• Strongest growth:

  • North East, Yorkshire and The Humber, and Northern Ireland (noted: NI data uses quarterly period).

• Weakest growth:

  • London, Wales, and Scotland.

💡 Implication for landlords: Continued growth outside London may signal stronger capital growth prospects in northern and regional markets. Slower growth in London suggests plateauing or cooling in the capital.

Mortgage Approvals: Slight Rebound

• March 2025 approvals: 64,309, up 4% from March 2024 but down 1% from February 2025.

• Mortgage approval volumes remain below 2021–2022 levels, but well above the Covid lows.

💡 Landlord insight: Modest increase in approvals suggests some renewed buyer activity. Landlords considering selling may see improved market liquidity, but demand is not yet at previous peaks.

Housebuilding: Starts Up, Completions Down

• Q4 2024 completions (England): 36,830

  • 🔼 Up 2% from Q3 2024

  • 🔽 Down 9% from Q4 2023

• Q4 2024 starts: 30,860

  • 🔼 Up 7% from Q3 2024

  • 🔼 Up 52% from Q4 2023

• Note: Surge in Q2 2023 starts was due to housebuilders racing to beat new building regulations introduced 15 June 2023 (relating to energy efficiency and EV chargers).

💡 Landlord insight: Rising starts may signal future supply increases, which could affect local rental markets in 12–18 months. Completions are still trailing, limiting immediate new supply.

Key Takeaways for Landlords

• Rising prices outside of London may offer stronger short-term capital growth.

• Mortgage activity is recovering slowly—watch for shifts in buyer demand, especially from first-time buyers.

• Planning new investments? Be aware of rising housing starts—these may eventually ease pressure in high-demand rental areas, particularly if Buy-to-Let competition increases.