In the latest edition of our Property Sentiment Index (PSI), we see UK movers heading into next week’s Autumn Budget with little faith in government policy and growing expectations of higher borrowing costs.
The PSI is a quarterly report from the UK property portal measuring sentiment among buyers, sellers and renters.
With the Budget now just a week away, almost half (43%) of active movers say recent government policy has had a negative impact on the property market. That is twice as many as the 21% who believe the impact has been positive. Among the wider public (including those not actively looking to buy, sell, or rent in the next six months) the verdict is harsher still, with 35% saying policy has hurt the market and just 9% saying it has helped.
At the same time, expectations of higher borrowing costs have risen sharply. 41% of active movers now expect interest rates to rise over the next six months, up from 29% last quarter, while 44% among the wider public say the same, up from 34%. Just 8% of active movers expect rates to fall.
Yet neither policy frustration nor rate fears are denting buyers’ confidence in their own finances. 89% of active buyers remain confident they can raise the funds for their next home, unchanged since May, which suggests higher costs are being factored into their plans rather than putting them off.
Elsewhere, house price expectations have steadied, with 33% expecting prices to rise over the next year, up from 31% and the first increase in a year. 87% of renters expect to find a property and move within six months.
Key findings from the research include:
Movers remain critical of government policy ahead of the Budget, with 43% of active movers saying it has had a negative impact on the property market, twice the 21% who say it has been positive
Expectations of a rate rise have climbed sharply, with 41% of active movers predicting an increase over the next six months, up from 29% last quarter
Buyers remain confident in their finances, with 89% confident they can raise the funds for their next home, unchanged since May
House price expectations have stabilised, with 33% expecting prices to rise over the next year, up from 31%
Renters remain positive, with 87% expecting to find a property and move within six months
Jason Tebb, President of OnTheMarket, commented:
“Going into the Budget, home movers are soldiering on with one arm tied behind their back. Twice as many think government policy has hurt the property market as believe it has helped, and far more now expect interest rates to rise. Yet buyers’ confidence in their own finances hasn’t budged, and they’re still coming to market ready to move.
“But there’s only so long people can keep battling against the odds. Next week’s Budget offers an opportunity to restore long-term confidence in the market. The government’s Your First Home scheme should be opened up to existing homes, not just new builds, and paired with wider mortgage market reform and cuts to stamp duty. Taken together, those measures would make a meaningful difference to buyers and help get the market moving on a sustainable footing.”
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Methodology
The PSI is based on two surveys: one conducted via YouGov among a nationally representative sample of UK adults, and another of active OnTheMarket users who have submitted a sale or letting lead within the past six months.
Further details:
YouGov Plc online survey with a total sample size of 4,251 adults in the UK. Fieldwork was undertaken between 15th and 17th September 2026. The figures have been weighted and are representative of all UK adults (aged 18+)
- Those actively looking to buy or rent a property = 248
- Those who currently own a home and are looking to move or purchase an additional property = 96
- Those actively looking to purchase a property = 196
OnTheMarket survey using SurveyMonkey, with 2,188 respondents in total, conducted between 18th September and 29th September.
Where totals do not add up to 100%, this is due to rounding.
