The latest research by estate agent comparison site, GetAgent.co.uk, has revealed that British homebuyers are willing to cut their asking price expectations by as much as £150,000, in order to attract a cash buyer for a smoother sale in what remains a frantic property market.
GetAgent analysis looks at current property listings across the major property portals, looking at the listed asking price for sellers only willing to deal with a cash buyer and how this asking price compares to the rest of the market.
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The research shows that those wanting a cash buyer only had listed for an average asking price of £186,768 versus an average asking price of £256,373 across the rest of the market. That’s a discount of almost £70,000 (-27%) for those ready to purchase with cash versus those funding their transaction with the help of a mortgage.
The biggest cash buyer discounts currently available on the market are in London. The average asking price for homes listed in the region is currently £486,931, but those looking for a cash buyer are listing at an average asking price of £335,680 – That’s a huge saving of £151,250 for those paying with cold hard cash.
Cash buyers are also able to secure some substantial discounts in the South East, where the average home advertised for cash buyers only is listed for £82,690 less than the wider average asking price.
This discount also sits at almost £70,000 in the South West (£69,063) and East of England (£68,945).
The North East is home to the lowest pounds and pence reduction, although a cash buyer can still bag a discount of £35,599. At 32%, this is also the highest percentage reduction in asking price for a cash buyer of all regions of Britain.
Co-founder and CEO of GetAgent.co.uk, Colby Short said, “Although the market has showed signs of cooling after what has been a manic pandemic property boom, the current landscape is still frantic, to say the least, and there remains a very high level of buyers looking to transact.
“As a result, sellers are still accepting offers at an alarming speed, but there remains some lengthy delays when it comes to getting a sale through to completion.
“One way of bypassing this to an extent is with a cash buyer and it seems as though some sellers are willing to dramatically lower their asking price in order to secure this easier path to completion.”