Remember when we were all dreaming of escaping to the coast during lockdown ‘race for space’? Well, five years on from the start of the pandemic, it seems the tide has turned.
Our latest research shows that many of the dramatic shifts we saw in the property market have now reversed, with coastal homes taking longer to sell, and city living making a strong comeback.
We conducted the study to see whether the big shifts we saw during the pandemic have reversed, and whether anything had stayed the same since life returned to normal. And while buyer habits and house prices have changed, there are some things – such as the desire for more space – that haven’t gone away.
Pre-pandemic city and coastal trends return
One of the most striking changes we saw during the pandemic was exactly where people wanted to live. With many of the things people gravitated towards cities being unavailable, or limited, the lure of extra space and seaside living climbed higher on people’s wishlists – and we we saw coastal and rural locations grow in popularity.
This sea-change was so dramatic that Cornwall actually knocked London off the top spot as the most searched area on Rightmove in March 2021 – something that had never happened before. At the same time, Londoners were packing their bags, with less than half looking to stay in the city when searching for their next home, compared to nearly 60% before the pandemic.
Fast forward to today, and we’re seeing quite a turnaround. London is back on top as the most-searched location, and most Londoners (58%) are now looking to stay in the capital rather than leave.
Homes near the coast are taking longer to sell on average, at 73 days: that’s three weeks longer than during the pandemic rush in 2021.
Looking at prices, it’s a similar story. During the height of the rush to the coast, asking prices for seaside locations jumped 4.5% in a single year – nearly twice the national average. Now they’ve increased by 1% since 2024, which is in line with the rest of Great Britain.
Our Chief Data Officer, Steve Pimblett, says: “Five years on from the pandemic, many short-term trends brought about by the unique circumstances of lockdown have reversed. Coastal homes are taking longer to find buyers and price growth has stabilised as more supply has come onto the market, some likely from movers heading back to the city. At the same time, fewer people are looking to escape cities, as life has returned to normal, and the debate continues about remote versus office working.”
Challenges for first-time buyers
It’s also a complex picture for those looking to get onto the property ladder. The typical first home now costs £227,965 (up 17% since the pandemic started), but wages have grown even faster, increasing by 30% on average over the same period. So theory, this means first-time buyers can borrow more compared to house prices than they could five years ago.
But here’s the catch – and it’s a big one. Rents have shot up by a huge 42% since 2020, racing ahead of wage growth. Add this to cost-of-living increases, and this means many renters will inevitably be finding it more difficult to set aside money for that all-important deposit, even if their earnings have increased.
And once you’ve got that deposit, there is the cost of borrowing to contend with. Over the past five years, average mortgage rates have more than doubled – the average five-year fixed mortgage now sits at 4.73%, compared to 2.15% back in 2020. In cash terms, a typical first-time buyer with a 20% deposit is now paying about £949 per month on their mortgage – that’s £359 more than the £590 they would have paid five years ago.
Space still at a premium
All things considered, the pandemic-driven desire for more space appears to be one trend that hasn’t reversed.
Over the last five years, larger homes have seen the biggest price jump – semi-detached houses have gone up by 23% and detached houses by 21%. In contrast, flats have only increased by 7% during the same period.
| Type of home | Average asking price | Five-year-asking price increase |
|---|---|---|
| Overall | £371,870 | 19% |
| Bungalow | £342,518 | 21% |
| Flat | £304,526 | 7% |
| Terraced House | £303,622 | 20% |
| Semi-Detached House | £326,918 | 23% |
| Detached House | £545,869 | 21% |
And this continued desire for space is reflected in what buyers are searching for online. Both in 2020 and now in 2025, ‘garage’ remains the most-searched keyword on Rightmove. Terms like ‘annexe’, ‘rural’, ‘garden’ and ‘acre’ also feature, suggesting that many are still prioritising extra room both inside and outside their homes.
| Rank | Buyer keywords March 2020 | Buyer keywords March 2025 |
|---|---|---|
| 1 | Garage | Garage |
| 2 | Acre | Annexe |
| 3 | Land | Rural |
| 4 | Rural | Garden |
| 5 | Annexe | Acre |
For renters, priorities look a little different. The ability to have pets continues to top the list of search terms, just as it did in 2020. Interestingly, ‘bills included’ has dropped out of the top five rental search terms after hitting the number one spot in 2022 when energy prices were at their peak.
| Rank | Tenant keywords March 2020 | Tenant keywords March 2025 |
|---|---|---|
| 1 | Pets | Pets |
| 2 | Furnished | Garage |
| 3 | Garage | Garden |
| 4 | Garden | Furnished |
| 5 | Bills Included | Parking |
What this means for buyers and sellers in 2025
So, what might these changing patterns mean for the property market going forward? For homeowners looking to sell in 2025, it’s worth considering the location trends we’re seeing play out. While a seaside property might have prompted a bidding war in 2021, today’s market may require more measured pricing: a local expert estate agent will be well-placed to guide you through setting your asking price. You can also use our Instant Valuation tool to get a quick estimate of the value of your home.
We’ve talked about the shift to a buyers’ market in 2025, and these shifting trends could present opportunities for those looking to move soon. Areas that saw rapid price growth during the pandemic may now offer better value as the supply of homes increases, and competition eases.
The header image for this article was provided courtesy of Hudson Moody, York City Centre
READ MORE: What are the current UK mortgage rates?
