Buyer demand for homes in Britain has begun to recover, with new applicant registrations rising 1.5% year-on-year to make February the strongest start to the year for house-hunters since 2022, based on internal data at Connells Group.
The estate agency group says the rebound is being led by London, where registrations climbed 8% compared with last year and now sit 35% higher than in February 2019. Growth has been particularly strong in Outer London, where demand increased by 11%.
The improvement in buyer activity comes despite a sharp rise in the number of homes available for sale. Stock levels are now higher than in any February over the past decade, up 3% on last year and 52% above 2019 levels. The greater supply is expected to keep price growth modest in the months ahead.
Newly listed properties are also attracting increased interest. Almost 90% of homes brought to market in early 2026 have received at least one viewing, while just over half have secured an offer, both slightly higher than the same period last year.
Improving affordability is also narrowing the gap between asking prices and agreed sale prices. Last month, 66% of homes in England and Wales sold for less than their original asking price, the lowest share recorded since March 2025. Average discounts have also eased, falling to 4.4%.
Aneisha Beveridge, research director at Connells Group, said: “Falling mortgage rates at the start of the year gave the market a boost in February, particularly across the less affordable parts of Southern England where confidence had been most fragile surrounding the Autumn Budget.
“London saw the largest increase in demand, driven predominantly by first-time buyers seeking homes in the suburbs.
“But even as demand improves, stock levels are also high. There were more homes on the market last month than in any February over the last decade, which is good news for buyers and will keep a cap on price growth in the coming months.
“At the same time, wider economic inflationary risks are mounting. If they persist, the path for mortgage rates may prove bumpier than expected, which could in turn temper the pace of recovery as we move through the year.”