Buyers fail to grab bargains as house prices fall
Monday, August 18, 2008
Property bargains are increasing daily as sellers cut their asking prices in an attempt to make wary buyers commit in a slow summer market – but the mortgage drought and a loss of confidence among buyers means that few are taking advantage.
Sellers are asking £5,403 less for their homes than a month ago, with the typical price of a house down, on average, by 2.3 per cent at £229,816, according to a survey on Rightmove, the property search website.
In London, where the market has deteriorated sharply, asking prices have dropped by £21,096, or 5.3 per cent, to an average £379,162 in a month. Prices are down 3.8 per cent in the capital over the past year, compared with 4.8 per cent across the UK.
Despite such reductions, properties appear to be more difficult to sell, with Rightmove-registered agents reporting 78 unsold properties on their books, up from 77 last month. Miles Shipside, a director of Rightmove, said: “Buyers are currently benefiting from the best choice in years.”
Rightmove blames the mortgage drought for the state of the market, adding that transactions are in danger of dropping to levels last seen in 1959.
Despite fears that there could be a surge of properties put on the market as the slumping economy and soaring prices forced more borrowers into difficulties with their mortgages and pushed asking prices even lower, Rightmove says that there is no sign yet of a rush of homes for sale. New listings are 106,000, about 25 per cent lower than typically seen at this time of year. Mr Shipside said: “Those who do not have to sell are holding off.”
Read the full article at Times Online.
Sellers are asking £5,403 less for their homes than a month ago, with the typical price of a house down, on average, by 2.3 per cent at £229,816, according to a survey on Rightmove, the property search website.
In London, where the market has deteriorated sharply, asking prices have dropped by £21,096, or 5.3 per cent, to an average £379,162 in a month. Prices are down 3.8 per cent in the capital over the past year, compared with 4.8 per cent across the UK.
Despite such reductions, properties appear to be more difficult to sell, with Rightmove-registered agents reporting 78 unsold properties on their books, up from 77 last month. Miles Shipside, a director of Rightmove, said: “Buyers are currently benefiting from the best choice in years.”
Rightmove blames the mortgage drought for the state of the market, adding that transactions are in danger of dropping to levels last seen in 1959.
Despite fears that there could be a surge of properties put on the market as the slumping economy and soaring prices forced more borrowers into difficulties with their mortgages and pushed asking prices even lower, Rightmove says that there is no sign yet of a rush of homes for sale. New listings are 106,000, about 25 per cent lower than typically seen at this time of year. Mr Shipside said: “Those who do not have to sell are holding off.”
Read the full article at Times Online.
Labels: falling house prices, findaproperty, House market, property analysis, property prices, Rightmove, uk housing
