Summer sellers tempt buyers preoccupied by holidays

“Average new seller asking prices fall by 1.9% this month as summer sellers tempt buyers preoccupied by holidays, inflation, and the highest Base Rate since 2008.” Rightmove’s August House Price Index confirms what those on the front-line are seeing.  

Activity levels remain subdued and August has proven to be a return to the traditional summer slowdown.  The market is really price sensitive and pricing correctly from the outset has never been so important.  The appetite to own your own home in the UK has not diminished; a reasonably priced house in a desirable area is still receiving lots of buyer interest, sometimes resulting in multiple offers.  Whereas an overpriced property is at risk of going stale, it’s then incredibly difficult to regain buyer interest.  

Mortgage rates have been a major factor in the slow-down of the market this year.  With rates beginning to stabilise, this is likely to bring renewed confidence towards the latter part of the year.  Affordability is still likely to affect the market for the foreseeable, but the combination of price corrections and increased wages, should bring certainty back into the market.   

Zoopla recently reported “While UK house prices are 0.1% higher over the year, it is the number of sales that have been hit hardest by higher borrowing costs, especially amongst mortgage reliant buyers. Cash buyers are more immune and on track to account for more than one in three sales in 2023.” 

Overall, the fundamentals are all still there: we have sellers, buyers and an appetite to ‘get the job done’ from both – it’s the lack of available stock which is not only slowing the decline in house prices, but also holding up onward moves.  
If you are looking to sell your home, instructing an agent who isn’t afraid to be honest with their market appraisal is key.  Our team of professionals are on hand to do just that.  Contact your nearest branch for realistic and pragmatic advice.