UK estate agents are feeling the squeeze as the market shows signs of friction, with transaction times hitting a nine-year high.

The latest Voice of the Agent report finds that winning instructions, not buyer demand, is now the biggest challenge for agencies, as competitive pressure overtakes market activity as the main constraint on growth.

Simon Leadbetter, founder of The Voice of the Agent, said: “This is not a market braced for a step-change. It’s a market expecting normalisation. Confidence remains positive, but it’s settled into a more measured state.

“Growth is no longer lifted by sentiment – it’s earned through execution, discipline, and the ability to remove uncertainty from transactions.”

Following the announcement of the High Value Council Tax Surcharge on properties above £2m, demand in this segment fell 19% year-on-year, despite the policy not taking effect until April 2028. London was disproportionately affected, with Inner London sales agreed down 5.5% and Outer London down 1.9%, while every other UK region posted growth.

“The cost itself is modest, but the signal introduced sufficient uncertainty to slow decision-making,” Leadbetter explained.

Competition is intensifying in the UK property market, with most agents now facing six or more rivals in their local patch, the report found.

While 74% of sales agents expect to take on more vendors in 2026, growth is expected to be modest, and fee structures remain tightly clustered.

In lettings, landlord numbers are stable, with rental expectations broadly flat or showing only small increases.