A third of homes on the market have had asking price cut - by an average of £25,000
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- 18 Dec 2020
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Homeowners desperate to shift their homes in a slowing property market have resorted to cutting their asking prices by an average of £25,562, new figures show.
Around a third of UK sellers, or 35pc, have reduced the asking price on their property in the hope of securing a sale, according to property portal Zoopla.
The biggest price reductions have been in Stockton-on-Tees in County Durham, where the average mark-down is £13,350, or 8pc. This is closely followed by neighbouring Darlington at £12,285, and Bishop Auckland at £10,573.
In London, 40pc of property listings have seen a price reduction – up from 37pc in July – by an average of £53,251. Kensington and Chelsea remains the most discounted borough, with average reductions of just under £130,000.
Lawrence Hall of Zoopla said the increase in the number of reduced properties currently on the market, and the rise in the average discount applied, was "more good news for first-time buyers trying to get on the property ladder".
While a slight rise in levels of discounting is to be expected at this time of year when house-hunters are likely to be delaying their property search until activity picks up in January, it could also be reflective of the stagnating market, particularly in London.
Earlier this month, the Royal Institution of Chartered Surveyors' monthly residential market survey found that the UK housing market activity remained subdued due to a lack of demand, with little hope of it gaining momentum in the next few months.
Based on the proportion of discounted homes in an area, Camberley has the largest share with 54pc of properties in the Surrey town marked down from the original asking price. Nearby Kingston-upon-Thames and Richmond have the second and third highest proportion of discounted properties, at 51pc and 50pc, respectively.
Scotland and northern England, on the other hand, have proved more resilient to discounts. Just under 16pc of homes in Edinburgh have been reduced in price, followed by 19pc in Salford, 22pc in Glasgow, and 25pc in Manchester.
Recent house price data shows that price growth dipped in October, as London's sluggish market pulled down the national average.
UK property increased in value by an average of 4.5pc in the 12 months to October, slowing from 4.8pc in September, while the monthly rate fell by 0.5pc, according to figures from the ONS.
