Demand from buyers in the UK residential market fell in November and so did the number of properties being put up for sale, the latest research shows.
The number of sales agreed also dropped but most of the slowdown is regarded as being due to the season rather than a further fall out from the decision by the UK to leave the European Union.
The data from the National Association of Estate Agents (NAEA) shows that 84% of properties sold for less than the asking price, the highest since records began in 2013, and up from 82% in October and 76% in November 2015.
Overall the number of house hunters fell by 22% from 440 in October to 344 in November per branch for NAEA members and supply was 39 were brank, down 9% from October and the lowest level since July 2016, just after the EU referendum.
Sales to first time buyers also fell with 29% to those buying their first home, down 3% month on month but October did see a record number of sales in this sector at 32% so the decline is not totally unexpected.
Sales agreed for first time buyers also fell to an average of eight per member branch, down from nine in October and September, the data also shows.
‘Following the EU referendum earlier this year, we faced a few months of low confidence from buyers and sellers, although in October the market bounced back to full form,’ said Mark Hayward, NAEA managing director.
‘We expect this is still the case, and this month’s slowdown is simply down to seasonality as many sellers hold off until January to put their properties on the market, and likewise buyers are more inclined to start the year with a property search, rather than attempting it over Christmas,’ he explained.
‘Likewise, although a large number of sales were made below asking price in November, this can also be put down to the time of year,’ he added.
