During September, property owners in Britain reduced their asking prices on an average of more than 3,000 homes every single day. According to data from the property portal Rightmove, this activity reached a 15-year monthly high, a trend attributed to an oversupply of listings and unrealistic price expectations from some sellers. According to the property website, The total was the highest of any month for 15 years and was driven, in part, by a glut of homes on the market and some sellers setting unrealistic expectations. Part of the issue is trying to work out the right selling price.
Market analysts note that 34% of homes listed in September required a price reduction, a figure nearing the record peak of 36% observed in September 2023. Rightmove data indicates these reductions average nearly 7%, which equates to approximately £21,000 off a typical home’s asking price. The proportion of listed homes that eventually had a price cut peaked in 2023 and has remained relatively high since.
Colleen Babcock of Rightmove explained that properties failing to sell initially often face skepticism from buyers once a reduction is applied, even when the home is in good condition. Because there is currently a high level of choice available to potential buyers, first impressions are critical. Statistics show that homes requiring a price cut typically take 119 days to find a buyer, whereas those sold at their original list price average just 39 days.
For some, the pricing process is a trial.
Stewart, a home seller in Leicester, noted that sellers often struggle to determine an accurate market value.
After rejecting an offer on his property shortly after it went live, he held out for better bids that never materialized. Eventually, it took 18 months to sell, resulting in a final price £30,000 lower than his original target. He also pointed out that certain listings, such as those with leasehold elements, are being filtered out of buyers’ search criteria entirely.
Rival property platform Zoopla suggests that buyers are currently in the strongest position, exercising high levels of caution and selectivity. This shift is largely driven by mortgage rates sitting at three-year highs, which forces potential buyers to prioritize affordability in their monthly repayments. With many working to a tight budget as mortgage rates have risen to three-year highs, property portals say buyers are now having to be choosy.
The impact of this cautious sentiment is reflected in the broader market figures. While the total volume of homes for sale in September increased by 5% compared to the previous year, the number of agreed sales dropped by 9% during the same period. Additionally, one-quarter of new listings in September had already been on the market within the past year, with 60% of those returning at a lower price point. Six in 10 were returning at a lower asking price.
Richard Donnell, executive director of research at Zoopla, emphasized that homes requiring a price adjustment are significantly less likely to secure a buyer within the standard three-month window. September, in particular, often sees a concentration of price cuts as owners attempt to finalize transactions before the year concludes.
