News from the Market
Property Prices
- The average price of a property coming to market has dropped by 1.1% (-£4,159) which is the same as regular seasonality in pre-pandemic years.
- In October, 8% of unsold properties on Rightmove saw a price reduction, compared to 7.5% of properties in October 2019. In 2021, it was just 4%.
- The amount of properties that see a reduction in asking price is up slightly from pre-pandemic years, and more agents report that sellers are becoming increasingly willing to reduce their price to achieve a quicker sale.
Transactions
- Buyer demand is up by 4% compared to 2019, but down by 20% on October 2021.
- First-time buyers remain the demographic group most affected by the economic uncertainty. First-time properties are down in demand by -26% compared to 2021.
- 2023 remains highly dependent on changes to mortgage rates, Zoopla analysts expect it to drop from 6% to 4%, resulting in a 1m sales for next year compared to an estimated 1.3 m in 2022.
Agent’s view
Kate Eales,
Head of Regional Agency at Strutt & Parker
- “We believe these levels of sustained activities will remain until 2023.”
- “Even if buyer demand falls, it will still outweigh the number of available homes.”
Andrew Marshall,
Regional Director at Hamptons
- “Pricing your property right is key to a successful sale, and it becomes even more pertinent in a tricky, or cooling market. We often find that the most critical time to find a buyer is during the first couple of weeks of a property being marketed.”
- “By agreeing a price with your agent from the beginning that is competitive and in line with the market as a whole, it can help generate more viewings and could lead to a quicker sale without the need for a reduction.”
News from Adfenix
- The average CTR of a property campaign in the UK is trending upwards with October averaging at 19.8%, indicating stable and slightly increased engagement and buyer interest.
- In October we saw that a property page with <1000 pageviews generated on average one (1) extra potential buyer while properties >1000 generated 4.2 extra buyers; prompting customers (agents) to recalibrate their property programs to increase time to sale for their properties.
- The average property page for our UK customers generated 650 pageviews compared to 75 for non-customers.
