Quick-sale property listings increase by 12 per cent year-on-year
Research by the House Buyer Bureau has found that more sellers than ever are looking to secure a quick sale on their properties, with a 12% increase this year against last January. At the same, sellers are increasingly prepared to reduce their prices by a larger percentage, signalling good opportunities for buyers who can secure the necessary finance within the challenging property market.
The latest data was provided by Land Registry research, which showed a drop of 0.2% in the average house price in England for October-November 2022. Although positive growth had been recorded in the previous months, this rate of growth had cooled off since August. Accordingly, more sellers are now looking to get a quick sale on their properties before the challenges of a turbulent year really bed in.
A jump in quick sales
Research also showed that there are nearly 2,000 homes currently up for sale in England where the seller has indicated they are keen for a quick sale, representing a 12% jump in quick-sell property stock against 2022 figures.
The most significant growth in these quick-sale housing stock figures has been spotted in the South West of England, followed by the East and West Midlands. All had seen increases in almost 60% of this type of sale since last year, when the average listing for a quick-sale property was around 9% less than the average asking price. The reduction in asking price now stands at around 11%.
The average price now for a quick sale stands at £266,630 in the UK because property values rocketed so much in the past year. Last June, the average quick-sale asking price stood at £230,428, and the average asking price was £252,671.
London prices fall
The biggest price reductions are being seen in London, where prices for a rapid sale offer a 19% discount. This is a huge gap since last year, when the reductions stood at around 10%, and suggests that affordability is proving to be a big issue for would-be London buyers, especially with mortgage prices having risen to an average of 6%.
HBB Managing Director, Chris said that there were various reasons that compelled sellers to look for a swift sale, including financial difficulty, work relocation, bereavement and other personal circumstances. He added that British home sellers tended to be astute and were inclined to drop their selling prices in order to secure a fast sale in the current market.
There is expected to be a swift decline in market activity overall this year as the cost of lending crisis beds in and interacts with higher mortgage rates. Already conveyancers are reporting fewer requests for conveyancing quotes, although competitive conveyancing quotes from high quality firms are still in demand: https://www.samconveyancing.co.uk/conveyancing-quote.
Hodgkinson added that anticipated price drops across the market in 2023 had almost certainly been factored into this decision, and the first signs of these falling prices were already being seen across the national property sales market.