Seller confidence drops as listings take longer to sell - OnTheMarket

Confidence among sellers has dropped sharply amid a slowdown in the housing market, data suggests.

OnTheMarket’s (OTM) latest Property Sentiment Index shows 63% of sellers were confident about selling their home in the next three months during November, down from 82% in the previous month.

Every area saw a drop in seller confidence, with the largest fall in the South East at 58% compared with 83% in October, according to the report.

However, confidence in the medium-term has strengthened with 27% of sellers confident they’d sell their properties within the next six months, an increase when compared with 13% in October.

Three quarters of buyers in November remained confident that they’d purchase a property within the next three months, the same level as October’s data.

The OTM data also showed a dip in properties reaching sold subject to contract (SSTC) within 30 days of listing, falling from 60% in October to 42% in November, which is also down on 53% a year before.

Meanwhile, the percentage of properties still on the market after 60 days rose from 17% to 23% between October and November.

Jason Tebb, chief executive of OTM, said: “With the fallout from the mini-Budget, combined with seasonal factors, it’s unsurprising that consumers feel less confident in the short term.

“Uncertainty around mortgage pricing and continued rising interest rates are bound to have a knock-on effect on affordability. But it doesn’t necessarily follow that these will translate into longer-term concerns; people move for different reasons and that isn’t going to change, even if market conditions are tougher. 

“As the market continues to rebalance, those serious about selling in the meantime must remember the value of an experienced local agent and the importance of realistically pricing their home. This will ensure they market their property at the right price initially, with the transaction steered through to successful completion, even if it does take a little longer.”