The housing market for the UK has been under changes due to the major event of Brexit. It is not the prices of the houses that have been affected much but the number of seller and buyer deals being completed.
The housing prices have experienced little effects of Brexit. Homebuyers are moving in most of the UK. The reasons may range from relocation due to jobs to expanding families. Therefore, prices remain fairly steady in such areas. Even the demand for housing is high but the problem remains as not many homes are being built to meet that need. On the other hand, it is expected that the value of residential properties may rise in most areas but at a slower pace than what has been recorded in the previous years.
Falling Number of Property Transactions
As of July, the number of seller and buyers completing successful property deals has fallen for the third month in a row. It is also the first time this year that the number of transactions has fallen below 100,000 per month.
Just in the beginning of July, it was reported that agents have the lowest stock of homes available in almost 40 years. Many surveyors believe that it is the political uncertainty in the region that is making home sellers cautious. On the other hand, buyers are also low on their inquiries. With an uncertain environment, people prefer sitting on their hands and delaying purchases.
False Expectations of Home Sellers
Given the above discussion, it is easy to conclude as to why vendors who are willing to sell expect a higher price for their properties and why agents are desperate to get them on board as their clients. In order to get more properties in their books, agents are offering false hopes to home vendors about high selling prices. The real situation is different. As of now, the house prices have been falling. They are not falling in great percentages but slowly and continuously since the beginning of the year. According to Home buyers, Properties are staying on the market for a longer length of time while the false expectations promised by agents to vendors of the vendors adjust to true market value.
On the other hand, home buyers are not willing to pay high prices even if the number of options available is limited. This, of course, does not meet the expectations of the buyers. As a result, the number of completed property transactions remains low.
Analysis of the current situation proves that it is the top-end homeowners who are suffering the most. They are being forced to make bigger adjustments to their price expectations.
What are Sellers Supposed to do?
Experts advise sellers to take a leap of faith. They should understand that making a reasonable cut in the price will increase the number of interested buyers. The real problem lies how much cut to make in order to interest the buyers and still have options for competitive bidding?
We Will always offer on your property a fair value will be paid but will be a cleaner and more guaranteed approach to selling your home, Another good practice is to inquire your agent about what they have sold in your price range within last six months and what the discount on the asking price was. This may give an estimated idea for the amount of cut.