New analysis from Hamptons shows that the region most at risk has changed, but the underlying problem facing many sellers has not. Those selling flats continue to face far tougher conditions than house sellers.
Here, Which? explains where sellers are most likely to make a loss, why the flat market remains under pressure and how much it now costs to move home.
Where sellers are most likely to make a loss
In 2025, London had the highest proportion of sellers making a loss, with 14.8% getting back less than they originally paid.
Flats were the main driver. Although flats accounted for around 60% of London sales last year, they made up 90% of properties sold at a loss, up from 78.4% in 2019.
At a local authority level, eight of the 10 areas where sellers were most likely to lose money were in the capital.
Tower Hamlets topped the list, with 28.2% of sellers selling for less than they paid. Flats accounted for more than 90% of all sales in the borough.
Where sellers are faring better
By contrast, sellers in the Midlands and the North are now among the least likely to make a loss. Only two of the 20 local authorities with the lowest proportion of loss-making sales were in the south of England.
Harlow, in the East of England, recorded the lowest share of loss-making sales, with fewer than 1% of sellers affected. It was followed by High Peak in Derbyshire at 1.7% and Broxtowe in Nottinghamshire at 2.3%, both in the East Midlands.
Stronger house price growth in northern regions over the past decade has reduced the risk of sellers losing money.
In 2025, the average seller in the North West saw their home increase in value by 45.4% over the period of ownership, compared with 44.6% in London, 38.3% in the South East and 39.5% in both the South West and East of England.
Find out more:Most sellers still make a gain
While some sellers are losing money, most still sell for more than they originally paid.
Across England and Wales, the average homeowner sold their property for £91,260 more than the purchase price in 2025. This was £570 lower than the figure recorded in 2024.
London sellers saw the largest gains in cash terms, selling for more than £170,000 above the original purchase price on average, despite being the most likely to make a loss.
The table shows the proportion of sellers in each region who made a loss, alongside the average difference between the price paid and the final sale price in 2025.
Hamptons’ analysis did not include properties in Scotland or Northern Ireland.
| Area | % of sellers that sold for less than they bought (2019) | % of sellers that sold for less than they bought (2025) | Average difference between purchase and sale price (2025) |
|---|---|---|---|
| London | 9.2% | 14.8% | £172,510 |
| North East | 29.9% | 13.9% | £108,030 |
| South East | 7.3% | 9% | £91,890 |
| South West | 8.8% | 8.3% | £97,130 |
| North West | 15.4% | 8.1% | £70,730 |
| Yorkshire & Humber | 14.5% | 8% | £76,220 |
| East of England | 5.7% | 7.9% | £41,140 |
| West Midlands | 8.9% | 6.9% | £70,520 |
| East Midlands | 7.6% | 6.7% | £62,180 |
| Wales | 12.2% | 6.2% | £68,120 |
| England & Wales | 10% | 8.7% | £91,260 |
Why flat sellers are struggling
Data continues to show the struggling flat market in the UK.
Flat sellers are far more likely to make a loss than sellers of other types of properties. In England and Wales, 19.9% of flat sellers sold at a loss, compared with just 4.5% of house sellers, according to Hamptons.
While the latest Nationwide house price index found that the value of a typical flat fell year-on-year by 0.9%, compared to 2.2% year-on-year growth for detached properties.
This is not a new trend. Over the past decade, the average flat price has increased by just 18%, less than half the growth seen for terraced houses, which rose by 41%.
Robert Gardner, Nationwide’s chief economist, said this partly reflects regional trends, noting that London, where flats make up a much larger share of homes, has underperformed the wider UK over the past decade.
He also pointed to changes in demand since the pandemic, with buyers favouring properties offering more space, alongside rising maintenance costs, ground rents and service charges weighing on demand for flats.
Find out more:The cost of selling your home
Before deciding whether to move, it’s important to understand how much the process is likely to cost.
Data from price comparison site Reallymoving shows the average cost of moving home, including selling one property and buying another, is now almost £18,000. This is a rise of 27% compared with a year earlier.
Stamp duty remains the biggest expense, averaging £9,750. Estate agent fees follow at £4,615, while conveyancing costs average £2,182.
When choosing an estate agent, conveyancer, surveyor or removals company, be sure to compare prices from different providers to get the best deal.
Find out more:Will the property market pick up in 2026?
The property market was slow in the final three months of 2025, with many buyers holding off until after the Autumn Budget.
There are signs activity could improve. Sales expectations for the next three months rose to their strongest level since October 2024, according to the December survey from the Royal Institution of Chartered Surveyors.
Tom Bill, head of UK residential research at Knight Frank, said clarity around taxation and the prospect of further interest rate cuts had supported demand at the start of the year.
Find out more:source https://www.which.co.uk/news/article/where-are-you-most-likely-to-make-a-loss-selling-your-home-acuq80d8ziPw