London sellers dropping asking prices
September 29, 2008
According to a recent report many property owners in the London area are being forced to drop their asking properties when selling their homes as a result of the slowdown in the housing market. With estate agents reportedly selling less than one property per week on average many homeowners have found that in order to even generate interest from cash strapped buyers they are having to slash the asking price on their properties by an average of over £20,000.
An official from Right Move, which carried out a recent survey, stated: ‘Faced with the scarcity of mortgage availability and the increase in unsold property, summer sellers have recognised the need to price aggressively.’
Another added: ‘Sellers who choose to come to the market during the peak holiday season generally have a greater need to sell. As a result, properties coming onto the market in July were on average over £21,000 cheaper than last month. Every borough in London saw a month on month fall in asking prices in July, and in all but six boroughs asking prices are now lower than a year ago.’
The housing market has been adversely affected by a number of factors over recent months. The lack of mortgages and tighter credit conditions means that many would be buyers are not able to get the finance that they need to get a property. In addition to this many potential buyers are nervous about taking the plunge at the moment because house prices are continuing to fall, which could result in some being left in negative equity very quickly.
Asking prices are said to have fallen in all boroughs of London, with Wandsworth seeing the greatest fall in terms of percentage, with asking prices falling by close to 8%. However, in terms of cash the biggest falls were in Chelsea and Kensington, where asking prices have reportedly fallen by over £88,000.
- Credit crunch does not stop asking prices from rising According to recent reports asking prices on some properties are still increasing despite the fact that property values have been falling for almost a year. Figures have revealed that the mortgage famine and falling property
- Right Move report a return to peak for London house prices According to recently released figures property prices in London have managed to claw their way back to the level that they were at when they reached their peak back in 2007. In fact, officials from
- London property market will lead the way to recovery Recent reports have suggested that whilst London may see the largest house price falls than any other area in the UK next year property prices in this area will also be the first to recover
- Offers on properties being dropped just prior to exchange A recent report has highlighted a problem that many homeowners are now experiencing, with the housing market having swung abruptly from a sellers market to a buyers market. Many homeowners are now experiencing difficulties in
- Drop in property prices leads to increased sales According to recent reports there has been a drop in the amount that many homeowners are asking for their properties, and this has led to an increase in property sales. With property sales having slumped
Comments
Got something to say?