UK Housing Market: Half of Homes Taking Longer to Sell Amid Mortgage Volatility

Approximately half of the homes across Great Britain are taking longer to sell compared to last year, a trend attributed to volatile conditions in the mortgage market and potential buyers adopting a 'wait and see' approach in hopes of securing a better deal. According to a report by property platform Zoopla, homes in 180 out of 363 local authorities across England, Scotland, and Wales are experiencing extended selling times compared to a year ago.

The report highlights that while the national average time to sell a home remains unchanged at 42 days, this stability masks a significant widening regional gap. Buyers in property hotspots are rushing to complete deals, whereas uncertainty over mortgage costs is fueling a more cautious approach elsewhere. Notably, eight local authorities recorded an average time to sell of two months or more, with Melton in the East Midlands leading at 76 days, followed by Westminster in London and Teignbridge in the South West at 63 days each. Conversely, the 10 fastest-selling markets were all located in Scotland, with Falkirk boasting the lowest average selling time of just 11 days.

This increased volatility in the mortgage market has been exacerbated by the ongoing Iran war, which has rattled financial markets. The Middle East conflict led many lenders to withdraw deals in March, as fears mounted that the situation would reignite global inflationary pressures and compel the Bank of England to raise interest rates. Higher average mortgage rates compared to the beginning of the year have added to overall buying costs, prompting a broader 'wait and see' attitude among buyers and consequently lengthening the time it takes to find a buyer across numerous regional and local housing markets.

This dynamic has created a noticeable divergence within the housing market. While buyer demand has been running below last year's levels, sales agreed have shown more resilience, driven by what Zoopla describes as 'committed movers.' In March 2026, buyer inquiries were 13% lower than a year prior. However, buyers with mortgage offers already in place or a clear need to move are continuing to support the number of sales agreed, ensuring that market activity remains stable in some areas despite the prevailing cautious sentiment.

In a broader economic and political context, the Iran war's impact on global energy prices and supply chains continues to fuel inflationary pressures, influencing the Bank of England's monetary policy decisions. Elevated borrowing costs are particularly stretching affordability for first-time buyers and households needing to remortgage. While the housing market has demonstrated resilience through several major shocks in recent years, the current environment indicates increased sensitivity to inflation, mortgage rates, consumer confidence, energy prices, and global events.

Richard Donnell, Executive Director at Zoopla, advised sellers in slower markets against adopting a 'wait and see' approach. He emphasized that the stability in the national average selling time masks a real divide emerging between local markets. Donnell urged those looking to sell their homes to consult with a local estate agent and ensure their property is priced correctly from day one. Zoopla had previously indicated that it did not anticipate a slowdown in house price growth in the near term, provided demand remained stable, but this hinges on weakened demand not translating into lower sales volumes.