Listings Taking Longer to Sell? ”This is the New Normal” Says Property Portal CEO
Listings appear to be taking longer to sell, but buyer and seller confidence remains, OnTheMarket claims.
The portal’s latest Property Sentiment Index shows the percentage of homes reaching sold subject to contract (SSTC) within 30 days has dropped from 50% in April 2022 to 37% last month. The percentage of homes selling within 60 days has increased from 19% to 21% between April 2022 and 2023. Meanwhile 19% of homes reached SSTC within 150 days last month, up from 10% in April 2022.
Jason Tebb, Chief Executive Officer of OnTheMarket, shared his thoughts on the findings:
“Market conditions were very different then with double-digit price growth and the ‘race for space’ in full swing.
“Now, a welcome element of stability has returned, with the numbers perhaps impacted by the Easter holidays and the traditional seasonal dip in the market when families are away and house hunting isn’t a priority.” Also adding “As far as the housing market is concerned, April was all about getting back to ‘business as usual’.
“This is the new normal, and reassuringly, it looks a lot like the old one. A level of stability has returned to the market after a period of unprecedented uncertainty created by September’s mini-Budget, which sent the price of fixed-rate mortgages soaring.”
“Inflation seems to be on the way down, albeit more slowly than hoped, and while another interest rate rise can’t be ruled out, market forecasts suggest that we’re nearing the end of these increases.”
The index found that 70% of active buyers in the UK were confident that they would purchase a property within the next 3 months, while 64% of sellers in the UK were confident that they would sell, broadly in line with previous reports.
The Index also found that as a UK average, 27% of movers hadn’t considered applying for a mortgage before starting their property search, with buyers in Greater London the least likely to have considered applying for a mortgage before starting their search for a property (32%). Conversely, buyers in Greater London were more likely to require a mortgage to purchase a property than the UK average; this inevitably further delays the buying process.
At Stonebridge, we perform multiple checks to prevent delays that have been developed by our team; each of whom have over a decade’s experience in the industry.
If you would like to discuss a sales valuation, rental appraisal, or anything else property related without obligation, we would be delighted to welcome you to Stonebridge, the home of the property experts.