Typical house prices in England and Wales are set to fall over the rest of summer according to home moving service Reallymoving.
It says typical prices will fall 3.8 per cent; the prediction is based on details entered by 8,000 home movers who used the website between March and May.
Reallymoving claims that buyers typically register for its quotes 12 weeks before completion, providing an advanced indicator of price movements.
Chief executive Rob Houghton says: “We’ll have to wait several months at least before the true impact of Coronavirus on the housing market becomes evident, but early signs suggest that while prices have fallen and buyers have undoubtedly tightened the purse strings, the initial hit may not be as severe as some analysts feared.
“For sellers now facing a period of great uncertainty and a scarcity of buyers, doing a deal at a reduced price of three to four per cent could look considerably more appealing than sitting tight and waiting to see what happens over the next few months.
“Transaction volumes are at half their normal levels and the economy is currently propped up by the government through the furlough scheme alongside mortgage payment holidays, so although the market is open once again, its underlying health has not yet been tested.
“Levels of unemployment and confidence in the jobs market will be key factors in determining whether the housing market recovers in the autumn with a levelling out of prices or continues in a downward trajectory.”