Buyers are waiting for mortgage rates to stabilise before making a move in the property market, Chestertons claims.
It comes as the latest analysis from the London agent reveals a 3% drop in new buyers entering the capital’s property market in July compared with June.
Despite the smaller pool of buyers, Chestertons reports that there are currently 12% more properties on the market for sale and the number of property viewings its agents conducted over the month was only 3% lower than July 2022.
The agent said this indicates that house hunters who are currently in the market remain determined to find a property.
Meanwhile, homeowners remained eager to put their property on the market last month and wait for the right buyer with Chestertons’ branches registering a 10% increase in properties being put up for sale year on year.
Matt Thompson, head of sales at Chestertons, said: “With the Bank of England confirming the 14th consecutive rise in interest rates in a row at the start of August, buyers have been more cautious and are in some cases pausing their property search in order to adjust their finances.
“However, there are lots of buyers who have already locked in a mortgage rate with their lender and are keen to secure a property before the rate expires.”