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.
Zoopla: Three in Five Homes Listed Since January Remain Unsold
Zoopla has reported that three out of five homes put up for sale since January have yet to secure a buyer. The property portal attributes this trend to higher mortgage rates and ongoing political uncertainty, which have contributed to a slowdown in the UK housing market.
According to Zoopla's latest data, sales agreed in the past four weeks were 7% lower than the same period last year. Buyer demand has also dropped by 15% year-on-year, as affordability pressures have reduced the number of active buyers. The slowdown has been most pronounced in Wales, where sales agreed fell by 12%, followed by an 11% drop in the East Midlands. The West Midlands saw the largest fall in demand, down 30% compared to last year.
Zoopla notes that the rise in mortgage rates to around 5% in April has added an average of £125 per month to a typical mortgage payment. The impact varies across the country, with first-time buyers in London facing an increase of £232 per month, compared to £66 in the North East.
The weaker market conditions are also affecting house prices. Annual house price inflation has slowed to 1.4%. The North East and North West recorded growth of 3.5%, while London experienced a 0.2% fall, marking its ninth consecutive month of negative annual house price growth.
For letting agents and inventory clerks, these market trends may influence the pace of property transactions and the volume of new instructions. The data suggests that correctly priced homes are more likely to sell, while overpriced properties are remaining on the market for longer.
Source: The Negotiator