HMRC seasonally adjusted estimates showed that UK residential transactions rose 4% to 95,580 in July a year ago, a 1% higher than in June.
A year ago, Non-UK residential transactions last month rose 1% to 10,260 last month, and 1% higher than in June.
It is also in several reports that Prime Minister Rachel Reeves is considering a plan to tax homes worth more than £1.5m, part of a plan to close the big hole in the public finance.
The move would put the home paid by the base rate taxpayer at a price above that price at 18%, compared to 24% for the highway taxpayer.
In addition, Reeves is understood to be weighing new taxes on properties worth more than £500,000, as part of a wider Semaphore and Council tax changes.
“Home sales are rising steadily due to stable mortgage rates and buyers have promoted buying power from less stringent affordability requirements,” said Richard Donnell, executive director of Zoopla.
“The market saw a 5% increase in sales in 2025 to 115,000, the highest since 2022.
Mark Harris, CEO of SPF Private Clients, added: “Transaction numbers have increased again as cheap rates encourage activities and give borrowers more confidence in planning ahead.
“While the additional tax rate was lowered from the Bank of England earlier this month, some lenders are repositioning upwards, including Natwest, Santander and Coventry, while HSBC has lowered interest rates.
“The mix comes down to rising swap rates, which is the basis for pricing for fixed-rate mortgages, and lenders don’t want to offer the best prices during summer staff vacations and summers with more limited resources.”
“This encouraging transaction boost shows growing confidence in the market, and our broker data shows buyers of all ages are looking to step on the real estate ladder for the first time,” said Clare Beardmore, director of mortgage services at L&G Distribution and Mortgage Club.
“Lenders continue to respond to borrower demand through new and innovative collateral product offerings, and potential policy changes may approach, which can also support buyer affordability.”
