What to Expect When Buying or Selling Property in 2025: Key Trends and Laws That Could Impact You

What to Expect When Buying or Selling Property in 2025: Key Trends and Laws That Could Impact You

As we step into 2025, residential property markets in England and Wales are adapting to a landscape shaped by economic shifts, evolving legislation, and sustainability requirements. Whether you're buying your first home, selling a property, or investing in a property, understanding how these trends and changes may affect you is key to navigating the process smoothly.

Residential Property: What Buyers and Sellers Need to Know

1. Stamp Duty Changes

From 1 April 2025, updates to Stamp Duty Land Tax (SDLT) thresholds will come into effect, potentially altering the cost of purchasing property. Buyers may find themselves rushing to complete purchases before the deadline to lock in lower rates. For sellers, this could create a surge in demand earlier in the year, while slowing down later as the market adjusts to the changes.

What this means for you:

• If you’re a buyer, acting early may help you avoid increased costs. Our team can provide clear advice on navigating SDLT and managing timeframes effectively.
• If you’re a seller, this could be the right time to list your property to take advantage of heightened buyer demand before the April deadline.

2. Energy Efficiency Standards

The government continues to prioritise energy efficiency, and properties that don’t meet higher Energy Performance Certificate (EPC) ratings may face increasing challenges in the market. Buyers are becoming more conscious of energy costs, and properties with lower EPC ratings might require improvement works to maintain value and attract interest.

What this means for you:

• Sellers: If your property has a poor EPC rating, improving energy efficiency now could make your home more appealing to buyers and help secure a better price.
• Buyers: Homes with higher EPC ratings could offer long-term savings on energy costs, and we can help ensure these ratings are accurately reflected in property reports.

3. Mortgage Affordability Improves

With the Bank of England reducing interest rates, mortgage rates are expected to stabilise at just over 4% this year. This is good news for buyers who may have been put off by recent high rates, as affordability improves and lenders become more competitive.

What this means for you:

• First-time buyers may find it easier to enter the market as rates stabilise.
• Home movers and investors could secure favourable mortgage terms, making it a good time to review options with financial advisors.

Property: Challenges and Opportunities

1. Sustainability Requirements

Sustainability is a growing priority for commercial property transactions. By 2028, all rented commercial properties must meet EPC C, and by 2030, they must achieve EPC B. The cost of upgrading properties that don’t meet these standards could be significant, potentially affecting property valuations and sale negotiations.

What this means for you:

• Landlords: Now is the time to assess your property portfolio and plan energy efficiency upgrades. Delaying could lead to higher costs closer to the compliance deadlines.
• Buyers: Ensure the properties you’re purchasing meet the required standards or consider negotiating discounts to account for future upgrades.

2. Leasehold Reforms

The Leasehold and Freehold Reform Act 2024 introduced significant changes to leasehold properties. Key reforms include cheaper lease extensions, extended lease terms of up to 990 years, and the removal of the controversial “marriage value.” These reforms simplify processes for leaseholders but may require careful navigation during transactions.

What this means for you:

• Landlords: Ensure compliance with the new reforms to avoid complications during sales or lease negotiations.
• Leaseholders: You may now have better options for extending leases or purchasing freeholds, and we can guide you through these processes.

How Watkins Solicitors Can Help

Navigating the property market in 2025 requires expert legal guidance, and our experienced conveyancing team is here to support you.

• For residential buyers and sellers, we handle everything from preparing contracts and conducting searches to ensuring smooth completions, offering clear advice every step of the way.

Sophia Ramzan, Partner and Head of Conveyancing at Watkins Solicitors, says:
 “2025 brings opportunities for buyers and sellers, but it’s more important than ever to have expert advice on your side. From navigating regulatory changes to ensuring smooth transactions, our team is dedicated to supporting you on your property journey every step of the way.”

Contact Us

Whether you're buying, selling, or investing, Watkins Solicitors is here to guide you through every stage of your property journey. Contact us today to discuss your needs and let us help make your property transaction stress-free.