Statistics reveal a notable decline in the pace of property sales. Only 37% of listings went under offer within a month of being advertised in September 2023, a significant dip from 53% during the same period last year, according to OnTheMarket’s (OTM) latest Sentiment Index. Despite this slowdown, the market isn’t at a standstill. Active buyers are not backing down, with a strong 74% confident they’ll secure a property in the coming three months. Additionally, 61% of homeowners remain optimistic about their prospects of selling.

This enduring confidence comes even as properties are taking longer to secure buyers. Current data indicates that while fewer homes are selling within 30 days, there’s a rise in those reaching Sold Subject to Contract (SSTC) status within a 150-day timeframe. This figure climbed from 10% to 19% over the past year.

Interest Rates Steady, Bringing Market Stability

Jason Tebb, OTM’s chief executive, highlights the consistency in the housing market’s recent behavior. Motivated parties are not hesitating to make their moves. A critical factor contributing to this steadfastness has been the Bank of England’s choice to halt successive interest rate hikes, maintaining the base rate at 5.25%. This decision was met with positivity, suggesting a possible end to escalating rates and offering much-needed stability to the market.

Consumers now face the reality that the era of minimal mortgage rates is over, yet it’s anticipated that the market will see more activity with the assurance that further rate hikes aren’t immediately looming. Though another rate hold is expected at the Bank’s upcoming November meeting, inflation figures are being closely watched for any indications of trends.

Persistent Buyers Navigate Economic Uncertainty

Despite prevalent economic ambiguity, Tebb notes that committed property hunters are undeterred. The current market scenario isn’t about nosediving prices or transactions. Instead, eager buyers continue their search, prompting sellers to be realistic with their pricing. The advice for sellers wanting to capture the attention of these serious buyers is to price their properties sensibly, guided by the wisdom of seasoned local agents.

The UK’s property market, while witnessing a slowdown in the speed of sales, is far from stagnant. Determined buyers are pushing forward, undaunted by economic uncertainties and motivated by stabilizing interest rates. For sellers, this signifies the importance of astute pricing to attract genuine buyers in this evolving market landscape.