Authored by the expert who managed and guided the team behind the United Kingdom Property Pack
Yes, the analysis of Cambridge's property market is included in our pack
Whether you are looking at Cambridge for its world-class universities, its booming life sciences sector, or simply its quality of life, understanding the local property market is essential before you buy.
In this blog post, we cover everything a foreign buyer needs to know about the Cambridge housing market in 2026, from average prices and days-on-market to neighborhoods improving fastest and realistic projections for the coming years.
We constantly update this blog post to reflect the latest data and trends, so you always have fresh information at your fingertips.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Cambridge.
How's the real estate market going in Cambridge in 2026?
What's the average days-on-market in Cambridge in 2026?
As of early 2026, the estimated average days-on-market for residential properties in Cambridge is around 66 to 70 days for the median, while the mean sits higher at roughly 100 to 110 days because a small number of harder-to-sell homes drag the average up.
In practice, most typical Cambridge listings sell within 8 to 14 weeks, though well-priced family homes in sought-after areas like Newnham or near the station can go faster, while flats and properties needing renovation often take longer.
Compared to one or two years ago, Cambridge selling times have remained relatively stable, with a slight lengthening in late 2024 due to mortgage affordability pressures, but conditions in early 2026 feel similar to 2023 levels as buyer activity has steadied.
Are properties selling above or below asking in Cambridge in 2026?
As of early 2026, properties in Cambridge are typically selling at around 98.5% to 99% of asking price on average, meaning most buyers are securing a modest discount of about 1% to 1.5% from the listed price.
Roughly 30% to 35% of Cambridge properties sell at or above asking, while the remaining 65% to 70% sell slightly below, though we are fairly confident in this estimate because local Cambridge data closely tracks these ratios over time.
Bidding wars and above-asking sales are most common for well-priced Victorian terraces in areas like Romsey, Mill Road, and Petersfield, as well as family homes near top-rated schools and properties within walking distance of Cambridge station or the Biomedical Campus.
By the way, you will find much more detailed data in our property pack covering the real estate market in Cambridge.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of the UK. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
What kinds of residential properties can I realistically buy in Cambridge?
What property types dominate in Cambridge right now?
The estimated breakdown of the most common residential property types for sale in Cambridge in 2026 is roughly 35% flats and apartments, 30% terraced houses, 20% semi-detached homes, 12% detached houses, and about 3% bungalows or other types.
Terraced houses represent the single largest share of the Cambridge market when you look at actual sales volume, accounting for nearly 38% of transactions, because they are the dominant housing stock in the city's central and inner neighborhoods.
Victorian and Edwardian terraces became so prevalent in Cambridge because the city expanded rapidly in the late 1800s and early 1900s to house workers and academics, and these compact, efficient homes fit well on narrow streets close to the university and railway.
If you want to know more, you should read our dedicated analyses:
- How much should you pay for a house in Cambridge?
- How much should you pay for an apartment in Cambridge?
- How much should you pay for a townhouse in Cambridge?
Are new builds widely available in Cambridge right now?
New-build properties make up a relatively small share of all Cambridge residential listings, estimated at around 5% to 8% of available stock in early 2026, because the city's tight planning constraints and limited land supply restrict large-scale development within the city boundary.
As of early 2026, the neighborhoods with the highest concentration of new-build developments in Cambridge are Eddington in North West Cambridge with its university-led expansion, the Trumpington and CB2 growth edge near the Biomedical Campus, and North East Cambridge around Cambridge North station and the Science Park cluster where major regeneration is underway.
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Which neighborhoods are improving fastest in Cambridge in 2026?
Which areas in Cambridge are gentrifying in 2026?
As of early 2026, the top neighborhoods in Cambridge showing the clearest signs of gentrification are Arbury and King's Hedges in north Cambridge, pockets of Abbey and East Cambridge near the station, and the orbit around Mill Road where older housing stock is being renovated by incoming young professionals.
Visible changes indicating gentrification include the arrival of specialty coffee shops and independent restaurants along Mill Road, the renovation of 1960s terraces in Arbury with loft conversions and contemporary extensions, and a shift in the demographic mix toward dual-income professional households priced out of central Cambridge neighborhoods.
Price appreciation in these gentrifying Cambridge neighborhoods has been estimated at roughly 15% to 25% over the past three years, outpacing the city average, though this varies street by street depending on specific improvements and proximity to transport links.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Cambridge.
Where are infrastructure projects boosting demand in Cambridge in 2026?
As of early 2026, the top areas in Cambridge where major infrastructure projects are boosting housing demand are the CB2 and Trumpington corridor near the new Cambridge South station, and the North East Cambridge zone around Cambridge North station and the Science Park cluster.
The specific infrastructure projects driving this demand are Cambridge South station, a brand new four-platform railway station serving the Biomedical Campus with up to nine trains per hour to central Cambridge, London, and Birmingham, plus the ongoing North East Cambridge regeneration delivering thousands of new homes and improved connectivity to the Innovation Park cluster.
Cambridge South station is expected to open for public use in June 2026, with full train services from Greater Anglia, Great Northern, Thameslink, and CrossCountry calling from day one, while the North East Cambridge development will roll out over the next 10 to 15 years in phases.
The typical price impact on nearby Cambridge properties is an estimated 5% to 15% premium once infrastructure projects are announced, with a further 5% to 10% uplift after completion and proven service delivery, though the exact impact depends on walking distance to the station and the quality of connecting routes.
We have made this infographic to give you a quick and clear snapshot of the property market in the UK. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
What do locals and insiders say the market feels like in Cambridge?
Do people think homes are overpriced in Cambridge in 2026?
As of early 2026, the general sentiment among locals and market insiders in Cambridge is that homes feel expensive relative to incomes, even though price growth has moderated and the frenzied bidding wars of 2021 have calmed down significantly.
The specific evidence locals typically cite when arguing Cambridge homes are overpriced is the price-to-income ratio, which stands at around 8.8 for median prices to median earnings, meaning a typical household needs nearly nine years of gross income just to match the median house price.
Those who believe Cambridge prices are fair argue that the city offers world-class employment in life sciences and tech, exceptional schools, and chronic undersupply of housing, which together justify premium pricing compared to other UK cities outside London.
Cambridge's price-to-income ratio of 8.8 is significantly higher than the East of England average of around 7.5 and well above the UK national average of approximately 6.5, reflecting the city's unique combination of high demand and constrained supply.
What are common buyer mistakes people regret in Cambridge right now?
The most frequently cited buyer mistake people regret making in Cambridge is underestimating how much micro-location matters, because being 10 minutes more walkable to the station, a good school, or a major employer can add tens of thousands of pounds to a property's value and future resale appeal.
The second most common mistake is assuming flats behave like houses in terms of liquidity and price growth, when in fact Cambridge flats take significantly longer to sell, often 50% to 100% more days on market, and have seen weaker price appreciation over the past decade compared to terraced and semi-detached homes.
If you want to go deeper, you can check our list of risks and pitfalls people face when buying property in Cambridge.
It's because of these mistakes that we have decided to build our pack covering the property buying process in Cambridge.
Get the full checklist for your due diligence in Cambridge
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How easy is it for foreigners to buy in Cambridge in 2026?
Do foreigners face extra challenges in Cambridge right now?
The estimated overall difficulty level for foreigners buying property in Cambridge compared to local buyers is moderate, because while there are no legal restrictions on foreign ownership, the process involves more paperwork, higher taxes, and additional scrutiny on the source of funds.
The specific legal restrictions and additional requirements that apply to foreign buyers in Cambridge include a 2% Stamp Duty Land Tax surcharge for non-UK residents, mandatory anti-money laundering checks on overseas funds, and potential registration requirements if purchasing through an overseas company under the Register of Overseas Entities.
The practical challenges foreigners most commonly encounter in Cambridge include navigating the UK solicitor and conveyancing system which operates differently from most other countries, timing fund transfers from overseas accounts to meet tight exchange deadlines, and establishing relationships with local estate agents who may prioritize buyers they perceive as more straightforward.
We will tell you more in our blog article about foreigner property ownership in Cambridge.
Do banks lend to foreigners in Cambridge in 2026?
As of early 2026, mortgage financing is available to foreign buyers in Cambridge but from a narrower pool of lenders, primarily specialist expat mortgage providers and international banking divisions of major UK banks like HSBC, rather than typical high street options.
The typical loan-to-value ratios foreign buyers can expect in Cambridge are 60% to 75%, meaning deposits of 25% to 40% are usually required, while interest rates tend to run 0.5% to 1.5% higher than those offered to UK residents due to the perceived additional risk.
The documentation banks typically demand from foreign applicants in Cambridge includes six months of bank statements showing salary deposits, proof of the deposit source with clear audit trails, tax returns or employer references for the past two to three years, and in some cases a UK credit check or international credit report from agencies like Experian or Equifax.
You can also read our latest update about mortgage and interest rates in The United Kingdom.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in the UK versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
How risky is buying in Cambridge compared to other nearby markets?
Is Cambridge more volatile than nearby places in 2026?
As of early 2026, Cambridge shows lower price volatility than comparable markets like Peterborough or Bedford, though it is slightly more volatile than ultra-stable areas like South Cambridgeshire villages, because its higher price point makes it more sensitive to mortgage rate changes.
Over the past decade, Cambridge experienced a peak-to-trough swing of roughly 8% to 10% during the 2022-2023 correction, while Peterborough saw similar percentage drops but from a much lower base, and Bedford showed comparable volatility but with slower recovery times.
If you want to go into more details, we also have a blog article detailing the updated housing prices in Cambridge.
Is Cambridge resilient during downturns historically?
The estimated historical resilience of Cambridge property values during past economic downturns is strong relative to most UK cities, because the city's diversified employment base across universities, hospitals, and tech companies provides consistent underlying demand even when the broader economy weakens.
During the 2008-2009 financial crisis, Cambridge property prices dropped by approximately 15% to 18% from peak to trough, but the market recovered to pre-crisis levels within about three to four years, faster than the UK average recovery of five to six years.
The property types and neighborhoods in Cambridge that have historically held value best during downturns are family-sized terraced houses in central locations like Newnham, Romsey, and Petersfield, while flats and peripheral locations like some parts of Arbury or Cherry Hinton have shown greater price sensitivity during stress periods.
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How strong is rental demand behind the scenes in Cambridge in 2026?
Is long-term rental demand growing in Cambridge in 2026?
As of early 2026, long-term rental demand in Cambridge continues to grow, with average monthly private rents reaching around £1,780 in late 2025, up about 2.6% year-on-year, reflecting persistent pressure from tenants competing for limited rental stock.
The tenant demographics driving long-term rental demand in Cambridge are primarily young professionals working in tech and life sciences, postgraduate researchers and university staff, hospital and Biomedical Campus employees, and international students who cannot or choose not to buy.
The neighborhoods with the strongest long-term rental demand in Cambridge right now are the CB1 area near the station for professional tenants, Mill Road and Romsey for young professionals seeking vibrant neighborhoods, and areas near Addenbrooke's Hospital and the Biomedical Campus for medical staff who need short commutes.
You might want to check our latest analysis about rental yields in Cambridge.
Is short-term rental demand growing in Cambridge in 2026?
Regulatory changes affecting short-term rental operations in Cambridge in 2026 include new UK-wide requirements for a National Short-Term Letting Register and mandatory registration with the local authority, though Cambridge has historically been less strict than London in enforcing short-let rules.
As of early 2026, short-term rental demand in Cambridge is growing modestly, driven by tourism, university events like graduation ceremonies, and visits to the Biomedical Campus, with around 1,000 to 1,100 active Airbnb listings in the city.
The current estimated average occupancy rate for short-term rentals in Cambridge is approximately 70% to 75%, which is healthy compared to many UK cities, reflecting consistent demand throughout the year rather than purely seasonal tourism.
The guest demographics driving short-term rental demand in Cambridge are primarily tourists visiting the university and historic sites, business travelers attending conferences or visiting tech and life sciences companies, visiting academics and researchers, and hospital visitors staying near Addenbrooke's for medical appointments.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Cambridge.
We made this infographic to show you how property prices in the UK compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What are the realistic short-term and long-term projections for Cambridge in 2026?
What's the 12-month outlook for demand in Cambridge in 2026?
As of early 2026, the estimated 12-month demand outlook for residential property in Cambridge is steady to firm, with buyer enquiries holding up well despite affordability pressures, particularly for well-priced family homes in central locations.
The key economic and political factors most likely to influence demand in Cambridge over the next 12 months are Bank of England interest rate decisions affecting mortgage affordability, continued expansion of life sciences and tech employment at the Biomedical Campus and Science Park, and the opening of Cambridge South station in mid-2026 which could boost demand in southern Cambridge neighborhoods.
The forecasted price movement for Cambridge over the next 12 months is modest growth of roughly 2% to 4%, with stronger performance likely for family houses and weaker conditions for flats, assuming mortgage rates remain stable and no major economic shocks occur.
By the way, we also have an update regarding price forecasts in The United Kingdom.
What's the 3-5 year outlook for housing in Cambridge in 2026?
As of early 2026, the estimated 3-5 year outlook for housing prices and demand in Cambridge is positive, with cumulative price growth of 15% to 25% expected over this period, driven by structural undersupply, continued employment growth, and major infrastructure improvements.
The major development projects expected to shape Cambridge over the next 3-5 years include the completion and operational maturity of Cambridge South station, the ongoing North East Cambridge regeneration delivering thousands of new homes and jobs, potential progress on East West Rail improving westward connectivity, and continued expansion of the Biomedical Campus.
The single biggest uncertainty that could alter the 3-5 year outlook for Cambridge is a sustained period of high mortgage rates or credit tightening, which would compress buyer budgets significantly given Cambridge's already stretched affordability and could lead to longer selling times and price stagnation.
Are demographics or other trends pushing prices up in Cambridge in 2026?
As of early 2026, demographic trends are having a significant upward impact on housing prices in Cambridge, with the city's population growing faster than the regional average and household formation outpacing new housing completions.
The specific demographic shifts most affecting Cambridge prices are continued net in-migration of high-skilled workers from other UK regions and internationally, growth in single-person and couple households among young professionals, and the expansion of the university and research ecosystem which brings a steady flow of academics and postgraduates.
The non-demographic trends also pushing Cambridge prices include the rise of hybrid and remote work which has made Cambridge attractive to London-based professionals seeking better quality of life, increased institutional investment in build-to-rent developments, and the city's growing reputation as a global life sciences hub attracting international capital.
These demographic and trend-driven price pressures are expected to continue in Cambridge for at least the next 5 to 10 years, because the underlying employment growth in tech and life sciences shows no signs of slowing and housing delivery cannot realistically match the pace of demand growth given planning constraints.
What scenario would cause a downturn in Cambridge in 2026?
As of early 2026, the most likely scenario that could trigger a housing downturn in Cambridge is a sharp tightening of mortgage credit or a sustained increase in interest rates, which would quickly reduce buyer purchasing power in a market where prices are already stretched relative to incomes.
The early warning signs that would indicate such a downturn is beginning in Cambridge include a significant increase in average days-on-market beyond 90 days, a drop in the sale-to-asking price ratio below 96%, rising stock levels on Rightmove without corresponding buyer activity, and increased price reductions on listings in previously liquid areas like CB1 and CB2.
Based on historical patterns, a potential downturn in Cambridge could realistically see prices decline by 10% to 15% from peak to trough over 18 to 24 months, similar to the correction experienced in 2022-2023, though Cambridge's strong underlying demand typically leads to faster recovery than other UK markets.
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Cambridge, we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Office for National Statistics (ONS) Cambridge Housing Prices | It's the UK's official statistics body and publishes standardized local house-price and rent indicators that are used across government and media. | We used it as our primary anchor for Cambridge-level average prices, rent levels, and year-on-year changes. We also compared Cambridge against the East of England regional average to provide context. |
| Cambridge City Council Housing Key Facts | It's the local authority's own summary of affordability and prices using referenced datasets including ONS and Hometrack data. | We used it to explain affordability pressures locals feel through price-to-income ratios. We cross-checked the level of prices with ONS data to ensure consistency. |
| Home.co.uk Cambridge Time to Sell | It's a long-running UK property data site that states a clear definition of its time to sell metric and provides near-real-time Cambridge-specific data. | We used it for current Cambridge selling-time estimates by property type. We cross-checked it against other local data sources to calibrate realistic ranges. |
| Network Rail Cambridge South Station | It's the infrastructure owner's official page with confirmed scope, timeline, and expected opening date for the new station. | We used it to identify the biggest near-term transport catalyst for Cambridge demand. We mapped which neighborhoods are most affected and verified service patterns from official announcements. |
| RICS UK Residential Market Survey | It's a long-running professional survey referenced by institutions like the Bank of England and widely used for market sentiment analysis. | We used it to capture market mood beyond raw prices, including buyer enquiries and price expectations. We cross-checked sentiment against transaction and listing indicators. |
| Rightmove House Price Index | It's a major UK portal with a long-running, transparent listing-based index used by mainstream media and widely recognized in the industry. | We used it to understand listing supply and demand signals. We cross-checked it against sales-based ONS and Land Registry data to distinguish asking prices from sold prices. |
| HMRC SDLT Non-UK Resident Surcharge | It's the definitive government guidance for the non-resident SDLT surcharge and residence tests that apply to foreign buyers. | We used it to highlight the extra tax foreigners face when buying in Cambridge. We also explained when refunds or reliefs may apply based on official guidance. |
| HSBC UK Non-Resident Mortgages | It's a major UK bank's published criteria for foreign national mortgages, useful for understanding mainstream lender positioning. | We used it to describe realistic mortgage availability and deposit expectations for foreign buyers. We compared it against specialist broker guidance to provide a balanced view. |
| Greater Cambridge Housing Strategy 2024-2029 | It's an official strategic document describing local housing supply priorities and constraints from the local authority. | We used it to describe what types of housing get built and where. We also used it to interpret why supply is structurally tight and what the council is trying to achieve. |
| Greater Cambridge Local Plan Infrastructure Delivery Plan | It's an official planning consultation document listing infrastructure requirements tied to growth, showing what's actually in the pipeline. | We used it to identify confirmed projects rather than rumors. We linked demand hotspots to planned capacity improvements for transport and services. |
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