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Asking prices slashed on one-third of all homes for sale

04 August 2010
Written by rosalind renshaw

One-third of all properties currently on the market have had their prices cut – by an average of 6.1%.

Zoopla, reporting the figures, says altogether £1.5bn has been slashed from 32% of the properties it lists.

The news comes as Halifax this morning reported that house prices rose 0.6% in July, reversing the 0.6% fall in June. The average house price now stands at £167,425 – 16% below peak levels, and far below today's average asking prices.

Zoopla said that out of the 50 main cities and towns, prices have been cut in 36, with Barnsley topping the list for the number of price cuts: almost half (44%) of Barnsley properties have had their prices cut.

But in many other places, including London, Swindon, Lincoln and Bristol, house prices have also seen the scissors.

The highest average price reductions in terms of percentage have all been in the North. In Rotherham, Manchester and Barnsley, average asking prices have been discounted by 7.1%.

In Rotherham that represents a £9,442 drop in asking prices, while average prices have been reduced by £11,376 in Manchester and £8,978 in Barnsley.

Average price reductions in the south have been smaller in terms of percentage, but in terms of money, the falls have been significant, with average asking prices in Chelmsford and Brighton both having been reduced by 5.1%, or £18,814 and £19,928 respectively. In London, 28% of houses have had price cuts, by an average of £37,421.

At the top end of the market, for properties with current asking prices of £1m or over, only 22% of properties have been reduced in price since first being put on the market. However, for those properties that have been reduced in this price bracket, the discount is much higher than the average, at 9.6%.

Nick Leeming, Zoopla’s veteran commercial director, said: “Britain is not one uniform housing market, and smaller percentage reductions are clearly evident in some locations in the south of England where the outlook for employment and economic growth is brighter.”

Take a look at https://www.zoopla.co.uk/pricereduction

Comments

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    we are still selling well and 2010 is healthy. our corporate competitor still continues to take stock at any price promising the earth! with reg fee etc just shocking!!! long live we independents.

    • 05 August 2010 21:56 PM
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    Its also the agents with the massive levels over priced stock that don’t focus on managing the vendors by working closely with them to get the price right.

    Often these are the firms that focus on more canvassing and generally generating more instructions when sales volumes are low rather than maximising the potential fees they have tied up in their current register, they don’t even know where to start with getting a price reduction even when they have a long sole agency – daft buggers!

    I know I, like many others amongst us could go a successful ‘turd polishing’ spree with many offices client bases and turn many of these properties into fees , its just not many of us in this industry seem to be able to do it

    • 05 August 2010 18:04 PM
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    many agents running around with massive stock, spending all their time appeasing disgruntled and bemused vendors, no doubt with the excuse that its 'school holidays' even though 'slump 2' started in early june. The wise agents will be abandoning the stack em high philsophy and spend their time picking out only the most motivated vendors. 1 in 8 in my area that will sell.

    • 05 August 2010 17:51 PM
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    Will you are making a fool of yourself. Be a good chap and find another forum to "Flame" on.

    It is important for agents to have the finger on the pulse of the market. Reporting facts helps agents to advise not just customers but running a business strategy.

    This political correctness of not allowing reporting of negative issues is wrong IMHO.

    • 05 August 2010 17:34 PM
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    Here we go again more doom and gloom headlines from the bash Britain brigade. Would you report the gloom side if Asda reduced its tins of beans next week or cut the price of potatoes,'ASDA SLASHES BREAD AND BUTTER PRICES' so they must be going out of business. Get a life editor

    • 05 August 2010 10:27 AM
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    Good to hear, Vossy.

    Many areas are affected by this though. Supply is high, demand is low and properties are still being over-priced - the worst business mentality I've ever encountered!

    • 04 August 2010 11:22 AM
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    Based in North London, we have found for 3 & 4 bed hosues prices are very bullish and we have more demand than supply so some properties are selling for more than the asking price...doesnt mean they are worth it, its just people are desperate! On the flat front there is very little demand so prices have had to be reduced. Problem ios that Agents still overvalue in order to gain instructions, so many price reductions are merely Agents reducing an over inflated and unachievable price to begin with

    • 04 August 2010 10:05 AM
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