Editor's note: This brief was summarised by The Property AI Newsroom from a report by The Negotiator. Read the original article for full details.

Connells: Fewer Homeowners Moving as Costs and Caution Rise

Only 5% of home sellers have owned their property for less than three years, according to new research by Connells. The estate agency group attributes this decline in short-term moves to higher moving costs, increased mortgage rates, and weaker house price growth.

Connells' research shows that the proportion of sellers who have owned their home for under three years is at its lowest level on record. This figure has dropped from 8% in 2016 and 15% in 2006, periods when house prices were rising more quickly and moving costs were lower.

The group highlights that the average mover in England currently spends £5,950 on Stamp Duty. Alongside this, higher mortgage rates have made buyers more cautious, with some households waiting to see if borrowing costs will fall before making a move.

Weaker price growth has also left recent buyers with less equity to use for their next purchase. The prospect of selling for less than the original purchase price is creating both psychological and financial barriers for homeowners considering a move.

Connells states that these factors are leading homeowners to stay put for longer, making moves less frequent and more likely to be significant, long-term decisions rather than incremental steps up or down the housing ladder.

For letting agents and inventory clerks, these trends may mean fewer transactions and less frequent changes in tenancy, as homeowners delay moving and the overall churn in the housing market slows.