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Home sales down for three months running

Home sales down for three months running
Christina Hoghton
Written By:
Christina Hoghton

Residential transactions were down 22 per cent between November 2022 and 2023.

According to data published by HM Revenue & Customs, sales of homes fell for the third month in a row in November.

Seasonally and non-seasonally adjusted residential transactions were down by one per cent and two per cent respectively on a monthly basis.

Annually, residential sales have fallen by 22 per cent since November 2022, with 87,640 sales recorded during the month.

HMRC said that levels of current monthly property transactions are ‘similar to what they were in early 2020, before the coronavirus (COVID-19) pandemic’.

It added this is ‘significantly lower’ than in early 2022.

Karen Noye, mortgage expert at Quilter, said the figures point ‘to a market grappling with high mortgage rates and economic uncertainties’.

She added: “House prices, after enduring a difficult 2023, may experience further dips in early 2024. The convergence of continued high mortgage rates will suppress buyer enthusiasm.

“However, the limited housing stock and elevated rental costs should cushion the market from a significant drop, leading to a modest decline in prices and even at times some modest increases.

“This dynamic could present opportunities for prospective buyers, particularly those looking to take advantage of any cut price deals from distressed sellers struggling with mortgage bills.”