A region one step ahead.
Nationally, 2025 was described as cautious.
Locally, Newcastle was simply… stronger.
While sentiment across the UK was hesitant, Newcastle continued to show resilience because the fundamentals are always working in the background:
- limited supply in good areas
- lower than national average house prices
- strong rental demand
- consistent buyer demand across multiple price bands
- lifestyle-led moves (schools, work, family space, commuting)
Prices rose, despite the negativity
Newcastle saw growth of over 4% in 2025, outperforming the national average. of around 2%.
That matters for homeowners because it shows something important:
Even when the country is uncertain, good local markets still move.
Investor demand stayed active here
Newcastle also benefitted from heavy investor activity.
While some landlords exited, the investors who stayed active often targeted Newcastle because yields and demand remained strong and where there’s demand, there’s long-term value.
What we expect in 2026
If mortgage rates continue to fall and confidence keeps improving, Newcastle will likely see:
- more sales listings in early 2026
- stronger buyer competition
- continued price resilience
- continued rental demand
It won’t feel like the chaos of 2022.
But it could be the most active market we’ve seen in two years.
