Oxford homes selling below asking price

Both Oxford and London saw property sellers accepting offers on average of 4.8% below the asking price in the first quarter of this year, according to the latest data from Hometrack, up from 2016’s less than 2% average discount in the two cities.

In Cambridge, which had once seen homes go for 1% more than asking price back in 2016, prices were being lowered by an average 3%, followed by Southampton and Portsmouth which saw a similar decrease.

The report says: “Market conditions are weakening in southeastern England but the size of discounts is less severe as prices are adjusting in weaker demand rather than as a result of adverse economic impacts. However, stretched affordability, Brexit uncertainty and multiple tax changes have impacted demand and mean sellers having to accept larger discounts to asking prices.”

I have suspected that evidence of houses selling below their asking prices was due to come through land registry data, and Hometrack’s report confirms this.  Asking prices across Oxford remain high reflecting sellers ambitions, but the market is seeing buyers in the ascendancy and prices achieved are under pressure.

For my Landlord readers, those planning to expand their portfolio should be prepared to make a ‘cheeky offer’ below asking price.