The number of new property listings reached a 10-year high in the first five months of this year, data from TwentyCi shows.
It found that 794,000 homes were newly-listed for sale, up 2.7% on the same period last year and the highest level recorded in its dataset.
The increase in supply comes as buyer demand has moderated following the rush to complete transactions ahead of stamp duty increases in 2025.
TwentyCi says the combination of increased stock and softer demand is creating more balanced market conditions, giving buyers greater choice and reducing competitive pressure.
But the number of properties moving to sale agreed fell by 4.1% year-on-year, although activity remained ahead of 2024 levels and significantly above 2023.
TwentyCi also notes that agreed sales dropped by 8.1% in May, which could point to weakening mortgage demand later in the year.
The volume of house purchases that fell through reduced by 11.1% year-on-year.
However, the average time from sale agreed to exchange increased by seven days to 132 days, or 4.3 months.
Chief executive Colin Bradshaw says:“The most striking feature of today’s housing market is the level of choice available to buyers.
“Supply is at its highest point in a decade, creating a far healthier environment for purchasers than we have seen for many years.
“While demand has softened compared with the stamp duty-fuelled market of early 2025, buyer activity remains resilient by historical standards and significantly stronger than we saw in 2023.
“The market is becoming more balanced rather than materially weaker.
“For lenders, there are encouraging signs beneath the headline transaction figures.
“Fall-through rates are improving, house prices remain remarkably stable, and buyers are entering the market with more choice and greater negotiating power.
“These are all characteristics of a more sustainable housing market.
“That said, the slowdown in sales agreed activity during May warrants close attention.
“Sales agreed are one of the clearest leading indicators of future mortgage demand, and if this trend continues we would expect it to feed through into lower transaction volumes later in the year.”
