2025: Our reflections and predictions for Oxfordshire’s property market

2024 will be remembered as the year of excuses across both mainstream and prime property markets, resulting in lower demand for houses and a drop in transactions.

Outside influences prompted understandable hesitancy among both buyers and sellers. Investors, families and potential movers sought clarity on global events which had the potential to affect house prices.

Admittedly, it’s been a slow year. But one the housing market has emerged from with foundations laid for a stronger and more competitive 2025.

Here, we reflect on key trends from the past 12 months and deliver our outlook for the property market in Oxfordshire through 2025.

Blockers removed

Political uncertainty prompted by elections in the UK and America and interest rates refusing to fall at the level we perhaps initially expected have been big contributors to a slower than anticipated year in 2024.

Now that these hurdles, which have undoubtedly stalled the volume of predicted transactions since January, are out of the way, we will almost certainly see increased transaction volumes in 2025.

Already, some experts are suggesting the Bank of England’s Base Rate could dip to 4% by the middle of next year – that remains to be seen. Further reductions to interest rates coupled with political certainty (irrespective of your leanings), will add the clarity many require, prompting a buoyant market.

City vs country

On a similar theme to above, there has been a noticeable drop in the volume of transactions in rural properties this year.

In most cases, moving to the countryside is a lifestyle choice and people want security in their lives before upping sticks to areas of the Cotswolds or Chiltern Hills, for example.

For reasons mentioned, security has been harder to justify in 2024 – prompting people to put off moving for a year or two.

Now we’re beyond the red tape, the number of people actively looking in Oxfordshire’s prime rural property market is on the increase. We’ve experienced this first-hand in Q4 and is a key reason behind our optimism for 2025.

Boom potential

At the beginning of the COVID-19 pandemic, there were a whole host of circumstances which prompted a stagnant market – much like this year.

Of course there are no guarantees, but there is the genuine possibility 2025 could compete with the pandemic boom we experienced five years ago. Think of 2024 and the events of this year acting as the floodgate blocking pent-up demand from being released.

Our forecast

Increased demand

Activity towards the end of Q4 this year already suggests 2025 is going to be far busier for Oxfordshire’s property market.

Our advice to clients will be to move quickly and decisively if they see a house which they want to buy.

High competition

Naturally, a busy market increases competition and drives up house prices.

Bidding will be competitive, and buyers should be prepared to go to their best offer and should be aware that they may have to go beyond the guide price to secure their dream home.

Remember, the average length of time between buyers signing-up to our services in 2023-24 and completing on a property is 173 days. If a move to Oxfordshire is on your radar in 2025, drop our team a message today. We’d be delighted to hear from you.

Call: 01865 553956

Email: info@oxfordpropertyconsulting.co.uk (mailto:info@oxfordpropertyconsulting.co.uk)

In the meantime, have a wonderful Christmas and New Year!