Rightmove encourages those thinking of selling

Date Posted: 21/11/19

With Brexit looming, is it a good time to sell a home? Buyers have less negotiating power thanks to lack of choice, Rightmove boss claims.

The average price of a home coming to market saw its lowest monthly rise at this time of year since October 2008, according to the latest report from property website Rightmove.
 

• It says that asking prices were up 0.6 per cent – or nearly £2,000 – with the typical price tag of a home now sitting at £306,712.
   
• At this time of year, there is usually an 'autumn bounce' in the price sellers demand as housing market activity increases between the lulls of summer holidays and Christmas.
   
• However, the number of sellers is down by 13.5 per cent annually - perhaps because some are waiting for a greater opportunity to maximise their money, Rightmove said.

It suggested that some potential sellers are perhaps being deterred by the lack of price momentum – but that actually, it is a good time to sell.

Miles Shipside, Director at Rightmove, said: 'In a strange Brexit-induced paradox, thousands of potential sellers are holding back compared to this time a year ago, though the number of buyers agreeing purchases is virtually the same.

'Ironically, this means those who are coming to market have a better chance of selling… it's actually a good time to sell.'

He adds: 'Those who are ignoring the Brexit disruption have less competition from stay-away sellers, and their prospective buyers have less negotiating power, with a reduced choice of suitable alternatives.'

Estate agents say the prevalence of 'must-movers' in the property market rather than people who are trying their luck is leading to fewer sales falling through.

Despite the large fall in sellers, the proportion of sales agreed that have fallen through so far this year is the lowest since 2015 - in a sign that those who are buying and selling are focused on making transactions go through.

Miles adds: “Some sellers are speculative, encouraged to try their luck if they judge that the market has a degree of froth which might increase their chances of banking a high price.”

“With upwards pricing power now pretty flat, some sellers who are motivated by maximising their money seem to be holding back.”

The monthly Rightmove index looks at prices of homes listed on its website. Last week, figures from the Office for National Statistics, that uses sold prices – but lags a month behind – said that values increased 1.3 per cent annually.

Nationwide Building Society recently revealed that prices in September were up just 0.2 per cent annually, while Halifax said they were up 1.1 per cent in the same period.

Mark Shearing, Putterills Managing Director added: “This report echoes what we are seeing locally, that whilst the volume of new properties to the market has dropped, there is still a strong demand from buyers that simply need to move. Increasingly, many buyers are taking the long-term view that they are buying a home and that it is almost inevitable that during the period they live there the value of their property may increase, or possibly decrease, but fundamentally they are buying somewhere they want to live.”

Mark continued: “ The key to selling now is realistic pricing , but if you listen to a professional agent’s advice, there is a strong chance of selling before the traditional Christmas slow down and many sellers are taking advantage of the fact that if they market now, they are likely to have little competition from less serious home-movers.” For the latest advice from your local, trusted property professional, with over 25 years’ experience in Hertfordshire, please call us now or click the button below.