Property expert explains house prices could continue to fall as sales hit 12 year low

Housing market trends predicted by estate agent As interest rates continues to rise, sellers and estate agents are forced to lower their property prices in a bid to get more people to complete the purchase of the sale. Around 1million property sales are said to be completed in 2023 which is the lowest since 2012. On top of this house sales are 21 percent lower than in 2022, new data Zoopla has found. Jackie Quinn, estate agent in Ashtead and Southeast regional executive at Propertymark explained the property market has been changing since the pandemic. On BBC’s Wake Up to Money, the property expert explained the change in the market is regional as many people in London, or central areas are selling up their expensive properties to find somewhere bigger in the suburbs. She said: ‘The market has changed. We are dropping some of our properties now by even 10 percent. Around 1million property sales are said to be completed in 2023 ‘I think the transaction numbers will pick up around Autumn, I don’t think prices will increase, I think they will steady or maybe drop a bit more in suburban areas. Zoopla’s latest research suggests average UK house prices are up just 0.1 percent this month to £265,100. This is the lowest annual growth rate for more than 12 years. In comparison, annual price growth this time last year was 9.6 percent. It comes as the latest Nationwide House Price Index for July showed house prices are falling at their fastest rate since 2009. Zoopla said the expected 21 percent decline in property sales by the end of 2023 was largely due to a fall in buyers with mortgages. They expect the number of mortgaged sales to drop 28 percent to last year. Zoopla’s latest research suggests average UK house prices are up just 0.1% this month to £265,000 Ms Quinn continued: ‘This is affecting first-time buyers because the affordability is low and therefore other properties are not coming into the market which has a knock-on effect on the rest of the market. ‘We are seeing some sales fall through because mortgage products or repayments on a monthly basis are going up four or five times than what was expected when rates are lower.’ The property expert explained the rise in interest rates has seen some people downsize their homes for something more affordable, or even surprisingly they are selling up to move into rented accommodation. Zreen Mansha CEO and founder of Travel Scotland explained prices for properties are dropping in Manchester, but rent is going up. SUBSCRIBE Invalid email We use your sign-up to provide content in ways you’ve consented to and to improve our understanding of you. This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. More info She said: ‘We are very much in the middle of a housing crisis which needs to be acknowledged. ‘More people struggling to remain in a home, never mind own a home – this needs to be addressed. It will be interesting to see the consequences of this in a year’s time.’ The Bank of England has raised interest rates 14 times in a row as it battles to bring down inflation and has warned they are likely to remain high for some time. Annual UK house price growth this time last year was 9.6% Trending