2025 is expected to be a year of modest growth in the property market with estate agent Knight Frank forecasting just a 2.5% increase in house prices. This means getting the right property at the right price has never been so important.
To make sure you get a good deal, we’ve asked six property experts for their tips on what’s going to be top of buyers’ wish lists when it comes to both property features.
From energy efficiency to wellness spaces, here’s what you need to have on your radar if you’re house-hunting over the next 12 months.
The reason for the popularity of houses is two-fold. Firstly, much of the new building, especially in cities, is blocks of flats and apartments so there’s a glut of supply compared to houses.
“The market is saturated with new apartment developments, which can make their resale value relatively weaker,” says from Vincent Dennington at John D Wood.
In particular, he flags two-storey houses over three. “Families with children often prefer fewer stairs, while older buyers may avoid properties with mobility challenges. This makes two-storey houses more versatile and in higher demand.”
In addition, houses are increasingly popular because, as property prices increase, first-time buyers tend to be older and looking for homes where they can raise a family.
“Buyers will remain patient to ensure they maximise value i.e they would rather skip the first-stage flat purchase and buy a smaller house on their preferred road, pushing affordability to the maximum, but saving in the long run, especially on stamp duty land tax (SDLT), as they buy for longevity and not a five-year move,” says Oliver Sanhaji of Middleton Advisors.
Bungalows are expected to be a wildcard for 2025. ·SolStock via Getty Images
Even more popular than two-storey houses are one-storey ones. Bungalows with their large footprint have long been a great option for older residents but now they’re also popular with developers who can usually get planning permission to double the square footage by adding a second storey.
“The wildcard for the year will be bungalows, which are quietly becoming hot property as ageing demographics drive demand. Investors should pay attention to this often-overlooked segment,” says Sarah Walker, independent estate agent in Richmond.
While fixer-uppers were previously the hot ticket, since the pandemic and the skyrocketing price of labour and materials, properties that are ready-to-go offer buyers a much more appealing prospect.
“The disparity will continue to grow between houses requiring renovation and houses that have just been finished. The premium on houses in excellent condition will increase and renovation projects will continue to struggle,” believes Sanhaji.
Mark Crampton, of Middleton Advisors, agrees: “With the cost of building work and renovations particularly high at present, homes being sold in good condition with modern heating and plumbing make a lot of sense.”
Period houses remain highly sought after. ·frazaz via Getty Images
While period homes are notoriously expensive to renovate, heat and make energy efficient, it seems that, for most, the heart still rules over the head when it comes buying them.
“Period houses remain highly sought after despite the focus on energy efficiency,” says Dennington. “Their character, heritage, large rooms, and gardens make them a solid investment, offering qualities new builds can’t match. With modern upgrades, older homes can achieve good energy efficiency while retaining their timeless appeal.”
For those buying in cities, privacy and security remain an important consideration.
“Buyers will prioritise this more than ever, so developments with private elevators, gated communities and separate entrances will be particularly sought after,” predicts Kate Donneky, of luxury management and advisory firm, Rhodium.
Wellness spaces are particularly desirable in the super prime sector. ·Chris Rose Archive
Forget an indoor gym and swimming pool — wellness in 2025 is being taken to a whole other level.
“In the super prime sector, ultra luxury residences will increasingly be designed with wellness in mind, incorporating biophilic design, natural light, air quality enhancements, spaces for yoga, meditation and fitness,” says Donneky.
While not on the scale of popularity that we saw during the pandemic, outside space still rates highly on buyers’ wish lists.
“Private outside space, such as garden or balcony, always adds something extra for flats/apartments and houses on quieter roads away from noise and traffic are always preferable,” says Crampton.
Outside space rates highly on buyers’ wish lists. ·PaulMaguire via Getty Images
How expensive a home is to heat has been increasingly at the forefront of buyers’ minds and this shows no signs of abating in 2025. Whether it’s a landlord conscious of the proposed EPC changes for rental properties in 2030 or a family who don’t want to be hit with an enormous heating bill, homes that are warm and well-insulated will have the edge in 2025’s property market.
“Energy efficiency will be a massive factor in 2025. Buyers are increasingly clued up about running costs, and properties with features like solar panels, air source heat pumps, and excellent insulation will command a premium,” says Walker. “EPC ratings aren’t just a box-ticking exercise anymore — they’re becoming a shorthand for desirability.”
Linked to energy efficiency, is also the focus on sustainability when it comes to how a property is built and maintained.
“Developers will need to integrate sustainable building materials and energy efficient technology to appeal to environmentally conscious buyers,” says Donneky. “Certifications like LEED or WELL will become key selling points and particularly relevant for buyers considering the purchase as an investment and wanting to ensure the property will not depreciate with substandard environmental credentials, as climate change issues become more apparent.”
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