The latest research from digital property pack provider, Moverly, has revealed that cooling market conditions and the higher cost of borrowing have resulted in one property market silver lining, as the number of homes returning to the market following a scuppered sale have reduced by 60% when compared to the start of the year.
Moverly analysed data on the current number of homes to have returned to the market following the collapse of a previously agreed sale and how this level of market instability has changed since the start of the year (July versus February 2023).
The figures show that currently some 2,118 homes have returned to the market across England, -60% fewer when compared to the start of the year, with every region of the nation seeing a reduction.
Yorkshire and the Humber has seen the largest reduction in the number of homes returning to the market, down -67% since the start of the year. The West Midlands (-63%) and North East (-63%) also rank within the top three in this respect.
The South East is the region where the most homes are currently returning to market, accounting for almost a quarter (24%) of the national total.
London also accounts for a considerable proportion of these homes (14%) along with the East of England (14%).
In terms of the property type that is most likely to cause sellers to return to the drawing board, detached homes top the table, accounting for 38% of all homes returning to the market.
Flats are the second most common (26%), followed by semi-detached homes (22%).
Moverly co-founder Ed Molyneux said, “The current property landscape is far from desirable, with increasing interest rates pushing up mortgage costs and deterring many buyers and existing homeowners from making their move.
In recent months, this has led to a reduction in market activity, with house prices also cooling due to declining buyer demand levels.
However, one silver lining to these cooler market conditions is a fall in the number of homes returning to the market having previously agreed a sale. This demonstrates that those buyers who are moving forward with a purchase are doing so after a far greater degree of consideration than was shown during the erratic highs of the pandemic market boom.
As a result, fewer transactions are collapsing due to the fact that buyers are in a proceedable position and aren’t being found out further down the line.”
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