We’re through the halfway mark of 2025, and now is an ideal time for those of us in property to pause, reflect, and realign our strategies based on market performance and emerging trends.
This year has already seen significant shifts, influenced by several factors including the economy, technology and digital innovations, as well as the changing demands of buyers.
Here’s what you need to know as we enter the second half of the year:
Snapshot of the first half of 2025
The first half of the year brought a mixed landscape to the UK property market. Residential sectors have experienced resilient demand, particularly in urban areas like London and Manchester. This seems to have been driven by younger buyers and investors attracted by ongoing regeneration projects.
Commercial property, mainly office spaces, has seen stabilisation after a turbulent period, with hybrid working becoming an established trend reshaping demand and pricing.
Emerging trends to watch
- MORE Proptech! Technology continues to redefine property processes, with increased use of AI-driven platforms. These are enhancing everything from virtual viewings to data-driven investment decisions. Firms not embracing these technologies risk falling behind.
- Sustainability and ESG. Environmental, Social, and Governance (ESG) principles are no longer optional but critical to long-term asset value. Green-certified buildings command higher rental yields and lower vacancy rates, reflecting the market’s growing sustainability consciousness.
- Co-living and flexible spaces. A continued rise in demand for co-living spaces, particularly among young professionals and students, highlights changing lifestyle priorities. Flexible workspaces continue to thrive, reflecting with the hybrid working model.
What does this mean for recruitment?
Well these shifts do affect our industry, that’s for sure. The market is witnessing higher demand for tech-savvy property professionals, ESG specialists, and those with an expertise with flexible workspaces. If you have an interest in these areas, it’s well worth investing time and money into learning and development that will set you apart from others in the market.
Predictions for H2
Looking ahead, the property market is expected to maintain steady growth, with a slow but steady pace.
Residential property in high-demand regions will continue appreciating, driven by limited supply and consistent buyer interest.
Commercial spaces, especially those offering the opportunity for flexible and hybrid work models, are expected to enjoy stable occupancy levels.
As we move forward, staying adaptable and informed will be key. Our team can advise your company on the what’s, why’s and how’s – so if you’d like to know more and see how we can help you, contact us.
