Market is cooling but buyers are more committed

Cooling market conditions and the higher cost of borrowing have resulted in one property market silver lining, Moverly claims.

The upfront information provider claims the number of homes returning to the market following a scuppered sale has reduced by 60% when compared to the start of the year.

Moverly analysed data on the current number of homes to have returned to the market following the collapse of a previously agreed sale, looking at July versus February 2023.

The figures show that currently some 2,118 homes have returned to the market across England, 60% fewer when compared to the start of the year, with every region of the nation seeing a reduction.

Yorkshire and the Humber has seen the largest reduction in the number of homes returning to the market, down 67% since the start of the year.

The West Midlands North East also rank within the top three in this respect.

The South East is the region where the most homes are currently returning to market, accounting for almost a quarter of the national total, Moverly said.

London and the East of England account for 14% each of relisted homes in the this region.

In terms of the property type that is most likely to cause sellers to return to the drawing board, detached homes top the table, accounting for 38% of all homes returning to the market.

Ed Molyneux, co-founder of Moverly, said: “The current property landscape is far from desirable, with increasing interest rates pushing up mortgage costs and deterring many buyers and existing homeowners from making their move.

“In recent months, this has led to a reduction in market activity, with house prices also cooling due to declining buyer demand levels.

“However, one silver lining to these cooler market conditions is a fall in the number of homes returning to the market having previously agreed a sale. This demonstrates that those buyers who are moving forward with a purchase are doing so after a far greater degree of consideration than was shown during the erratic highs of the pandemic market boom.

“As a result, fewer transactions are collapsing due to the fact that buyers are in a proceedable position and aren’t being found out further down the line.”