Number of home sales halved since last year

Transaction levels have plummeted by -54% this year, according to a new report.

Research by letting agents Barrows and Forrester, reveals both transactions and total market values of homes sold, fell by more than 50% across every area of England and Wales.

The research shows that 147,223 homes have been sold in England and Wales since the start of the year, -54% fewer than the same time last year with the average sold price of these properties also dropping by -7%.

Fewer buyers fighting it out for available stock

Managing director of Barrows and Forrester, James Forrester, said: “While the property sector is incredibly fragmented in nature, we’ve seen a worryingly consistent performance across the board when it comes to the reduction in market activity so far this year.

“Not only has there been a drop in the average price a home is selling for across every region, but we’ve also seen transaction levels more than half compared to the back end of last year.”

He added: “As a result, the total market value of homes sold has taken a significant hit and this demonstrates the reversal in fortunes that sellers now face, with fewer buyers fighting it out for available stock and doing so at a lower price point than previously.”

South East is home to the most valuable property market

The London market has seen the greatest decline in transaction volumes, with just 15,638 homes sold so far this year, a drop of -57%.

The East of England (-56%) and South-East (-56%) have also seen some of the largest reductions in transaction levels.

Despite seeing one of the largest levels of decline in market activity, the South-East still ranks top in terms of total homes sold so far this year, with 24,210 transactions completed since the start of January.

The North-West (19,275) and South-West (16,246) also rank within the top three. The South-East is also home to the most valuable property market, with an estimated £11.2bn worth of property sold so far this year.

The North-East sits bottom of the table, although the region has still seen some £1.3bn worth of property sold since the start of the year.