Sellers who need to move should avoid overpricing their homes as the housing market becomes increasingly sensitive to what buyers can afford, according to BestAgent founder Charlie Lamdin.
His warning follows the latest Lloyds House Price Index, which shows average UK house prices falling by 0.4% annually in August – the first year-on-year decline since November 2023.
The average property now costs £298,468, having fallen by 0.2% during August and 0.1% in July.
However, Lamdin (main picture) argues the headline national figure disguises dramatically different conditions across local markets, making realistic pricing increasingly important for agents and sellers.
REGIONAL DIVIDE
Northern Ireland remains the UK’s strongest-performing market, with prices rising 6.9% annually, while Scotland records growth of 3.5%.
Conditions are markedly different across southern England. Prices are down 1.6% annually in the South East and 1.5% in London, while the South West and Eastern England both record falls of 1.2%.
Lamdin says: “While the latest Lloyds data may concern some homeowners, it is important to keep the figures in perspective – a national average can hide as much as it shows.
“Northern Ireland is still up nearly 7% on the year while London and the South East are down. The useful signal is the annual trend, which has been falling for a year and has now turned negative for the first time since November 2023.”
PRICING TO SELL
Lloyds itself describes the housing market as subdued, with some sellers choosing to remain in their existing homes rather than accept lower offers and buyers waiting to see how economic conditions develop.
Lamdin argues this makes accurate initial pricing particularly important for sellers who cannot simply postpone their move.
He adds: “That’s the market many sellers have already been in. Homes only sell when the asking price is near what buyers in that area can actually pay, so sellers should avoid the trap of overpricing if moving isn’t optional.”
