Asking-price cuts reach 15-year September high as UK homes take longer to sell

Home sellers in Britain cut asking prices on an average of 3,110 properties a day in September, the highest figure for that month in 15 years, according to property website Rightmove. Its data suggest buyers have more choice as homes take longer to sell, while higher mortgage rates are putting pressure on affordability. [1]

The average reduction was nearly 7%, equivalent to about £21,000 on a typical home, Rightmove said. Properties that had their price cut typically took 119 days to find a buyer, compared with 39 days for homes listed at one price.

About 34% of homes listed for sale had a price reduction in September, close to the recent peak of 36% in September 2023. September often sees more reductions as sellers try to complete a sale before the end of the year.

The number of homes for sale was up 5% on the same month last year, while agreed sales fell by 9%, according to figures from rival portal Zoopla. Mortgage rates had also risen to three-year highs, adding to buyers’ focus on keeping monthly payments affordable.

Zoopla said a quarter of homes newly listed in September had already been on the market during the previous year, and six in 10 of those returning properties were listed at a lower price. Homes that needed a reduction were half as likely to find a buyer within three months, the portal’s research director Richard Donnell said.

Rightmove’s Colleen Babcock said that in a market with plenty of choice, buyers might question a home that had been reduced after sitting on the market, even if nothing was wrong with it. Agents cited in the BBC report said setting the initial price correctly was important to attracting active buyers.

The figures describe asking-price cuts, not necessarily the final price paid. A conveyancing firm chief executive, Andrew Boast, said sellers could still make gains if they had bought well and their property had risen in value while they owned it.