Everything seems to slow down during the summer, and the housing market is no different.
The summer slowdown has arrived with more force than usual this year, with Zoopla’s house price index showing that agreed sales in the four weeks to 19 July were down 9 per cent compared to last year.
That was before the school holidays, plus the data shows that enquiries from would-be buyers were down 23 per cent.
The picture is similar elsewhere: Rightmove reported a 1 per cent drop in prices in July, with overall activity down by 6 per cent compared to last year.
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So there’s no doubt there’s been a slowdown, and it looks like it’s much worse than last year, but there are steps you can take to ensure a smooth sale process.
It takes five months on average from listing to completion, and there are 10 to 12 weeks of legal work in between
If three people involved in that chain take two weeks’ holiday at different times, that could see weeks vanish from the timetable.
Also, deals agreed during the busy spring market all land in conveyancing at the same time, and reduced summer rotas, slow councils taking two or three months to come back with search results – it adds several weeks more to the sale process.
A thinner, more wary pool of buyers during the summer means buyers are likely to be even more choosy, which will be compounded by more costly loans, due to the average mortgage rate being 4.75 per cent with no interest rate cuts on the horizon.
Summer buyers are fewer, but they are often the most serious you will meet all year.
Nobody spends a hot Saturday traipsing around viewings unless they genuinely need to move – so treat every enquiry like gold.
Here are five tips to secure a sale this summer:
Price it right on day one. Homes priced above the local market take twice as long to find a buyer. An unrealistic price is a sure route to a stale listing, and risks buyers pressing for a last-minute discount.
Be sale-ready before the board goes up. Instruct a conveyancer the day you list, not the day you accept an offer. Get all the paperwork ready at this time – property information forms, title documents, copies of bills – you could save weeks.
Holiday-proof your chain. Ask your agent to run a diary audit to find out who will be away and when, answer solicitors’ queries on the same day, and insist on a weekly progress call.
It takes five months on average from listing to completion
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Back the buyer who’s ready to go. A chain-free purchaser with a mortgage agreement in principle – or cash – is worth more than a higher offer from the top of a long chain.
Make the season sell for you. Offer evening and weekend viewings for buyers juggling holidays and childcare, and be accommodating on completion dates.
The summer market is slower but not asleep. The sellers who struggle are those who list and hope.
Jonathan Rolande is the founder of House Buy Fast. For more information, visit https://rolande.property/