Research from Savills revealed that buyer commitment to move remained broadly positive at net 24%. This was up from 23% from the same time last year.
Domestic political change emerged as the biggest factor causing hesitation among buyers and sellers, cited by 31%, followed by a lack of quality housing stock, cited by 17%.
London reports strongest demand
The strongest commitment to move was recorded in London, where 31% more people were looking to move than stay put, compared with 24% across the UK.
Activity is also being driven by those looking to relocate, who reported a net commitment balance of 38%, highlighting the importance of needs-based movers to the market.
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Location remained a key priority for those considering their next move. More than half said it is the factor they are least willing to compromise on, while proximity to family was identified as the most important consideration by two in five respondents.
Limited housing supply
A lack of suitable housing stock continues to act as a barrier to moving.
A third of respondents said they would be more likely to move within the next year if more suitable properties were available in their preferred location.
Frances McDonald, director of research at Savills, said: “While there remains a degree of uncertainty around the wider economy and housing market, there is still a strong undercurrent of demand, particularly among needs-based buyers whose decisions are driven by life stage and lifestyle priorities rather than wider market conditions.
“The increase in mortgage costs has caused some households to pause and consider their options more carefully, while the prospect of future policy changes in the lead-up to the Autumn Budget is holding back movers in higher price bands. Greater clarity on tax direction in the coming months should provide the market with confidence to increase transactional activity.”
