Asking prices in the capital are consistently higher than buyers are willing to pay.

Sellers in the capital beware – you are likely overpricing your property. New data from property website Upstix has revealed that homes in London are currently selling for 5% less than their listed price.

This means if you are selling a home worth £500,000 you are likely to get £25,000 less than you are asking.

Upstix believes over-optimistic valuations are to blame, leading to a lack of interest from potential buyers.

Where are homes selling furthest below asking?

The worst performing areas in London are:

• The West End
• Paddington
• Marylebone

In these areas, properties are selling for an average of 6.5% below the asking price.

Outside of London, Preston, Southport and Leyland have seen the biggest drop between asking and selling price, with an average difference of 9%.

Which areas are bucking the trend?

In better news for sellers, data from Upstix showed no areas in England are currently achieving above the asking price. The average selling price across England is now 97% of the original asking price.

The North East is proving most resilient, with Newcastle, Gateshead and Sunderland showing the smallest drop between asking and selling price – just 0.7%.

Expert Advice for Sellers

Fred Jones, chief operating officer at Upstix, had this advice for sellers:

“Far too often people are lured by over optimistic valuations when it comes to selling their homes – but it is often these overvaluations that cause problems such as a lack of interested buyers, long listing times leading to eventually having to reduce the asking price.”

He urged sellers to be realistic about pricing, keeping in mind how long they are prepared to wait for a sale. For a fast sale, Jones recommends considering a cash buyer.