In our 10 years running The Commercial Guys, we’ve seen the market swing – sometimes more sellers, sometimes more buyers. But right now, we’re in rare territory: more buyers than sellers, and it’s sharper than we’ve ever seen.
There are fewer opportunities on the market, and that shortage is fuelling demand across the board – from owner-occupiers to investors.
Ten years ago, commercial buyer’s agents were almost unheard of. Today, they’re a whole industry in themselves.
Not only are investors engaging buyer’s agents to help them source assets that never hit the open market, but now even owner-occupiers are using them to find space.
That tells you just how tight the market is.
A Mismatch in Supply and Demand It’s not just about a lack of stock – it’s about the wrong stock.
Buyers are inspecting properties they admit aren’t a fit, just because it’s the closest option available.
Vendors see this activity and assume the market will meet their price.
But most of those inspections aren’t translating into deals, leaving vendors with high hopes but little movement.
In short: activity is not the same as demand.
What It Means for You
Owners: With more buyers chasing fewer opportunities, now is the time to reassess your position. If you’ve been sitting on the fence, this market is worth a conversation.
Buyers: Be ready to move quickly. The right asset is rare, and competition is strong. Many deals are happening before a listing even goes public.
PS: A Quick Note on Leasing
While the sales market is running hot with buyers chasing scarce stock, the leasing market is almost the mirror image. There’s plenty of space available, but tenants are taking their time, negotiating harder, and being very selective.
Deals are slower, with tenants weighing up lots of comparable options. Incentives, lease terms, and security arrangements are under the spotlight more than ever.
We’re even seeing shifts like directors pushing back on personal guarantees, preferring larger bonds or bank guarantees instead.
Add in an uptick in arrears and enforcement activity, and it’s a leasing landscape we haven’t seen in years.
‘ We’ll go deeper on the leasing market in our next update.
Written by Adam Leishman and JD Davies
