Is the market slowing/prices coming down?

[Notmyyearthisyear]

Just this, really. Share your experiences.
I’ve seen a few properties coming back to the market or just not shifting in a rather desirable area, perhaps not reductions but it’s possible they got renegotiated after initial sale agreed. Is this a sign of a change?

The market will slow in terms of growth but the Bank of England is still predicting growth, I think at 0.5 percent overall. So not prices declining

the Bank of England predictions tend to be more accurate than anecdotal stories.

I’ve seen several properties now that originally went on February time come back at the original asking price. All within less than 1 mile radius of a very desirable neighbourhood. There’s got to be a reason 🤔

Sorry not if the neighbourhood, I meant within a 1 radius of a spot within a desirable neighbourhood!

Are the properties being down valued so people pull out maybe?

I’ve noticed properties on RightMove being reduced after a few weeks - unheard of in the past 18 months.

@Ilikewinter thats exactly what I’m thinking. My valuation came back at the agreed price but I’ve got a sizeable deposit so I guess the bank doesn’t really care as they won’t be out of pocket. They didn’t even send anyone out just did desktop.

Which kind of makes me worried that if I was putting down 10%, the bank wouldn’t be so blasé about the valuation. And as I agreed to pay almost 15% over asking, I’m a little worried… 🙄

Properties are being over valued and banks won't take the risk.

The bank valued the house we are buying at £50k under asking.

People are hoping for cash buyers, basically, and there are a lot of them buying houses in the UK from places like Hong Kong.

With remote working lots of people are moving out of London too, and because they're used to London prices they're probably willing to pay more than locals would, because in a lot of places they still see themselves getting a bargain.

Where I am - East Midlands - no,
prices are levelling off but not dropping, even if there is something else visually wrong with the property. Further north of us, the prices of ex rentals are dropping, as are those with tenants in situ, but not other housing.

www.walesonline.co.uk/lifestyle/welsh-homes/wales-remains-uks-house-price-23990225?fbclid=IwAR2PAkhk4EAC7RBda6YBEOdVFMWIoxPrpxEvnnIKP7qsKb-Ox8kv-DX_g8s

^^ UK house prices rise by £24,000 in a year with Wales seeing the biggest spike

The rush is passing but prices still seem buoyant - and around here (SW London) things didn't go mad anyway. I offered on three houses last summer and all sold for under the ask (including the one I actually bought).
If bank rate nears 3% there will be a flattening maybe a slight dip, but as prices increased so much the last couple it won't be below 2020 prices except in some areas that have still struggled since 2008. But statistically people pay less percentage of their income on mortgages now and have better deposits so there's a cushion.
And anyway a dip only matters if you are selling - if you've just bought and aren't planning to move for a few years you ride it out. Prices always go up long term.

I'm only seeing the horrible ones which were overpriced reducing in asking price. The solid desirables which everyone wants are still being priced high, and getting snapped up quickly.

House price inflation has dropped from 11% to 9%. So slowing but still growing.

longer term it’s going to depend on interest rates I guess.

Things have definitely slowed down here in the last few months and now (last 4-6 weeks) most things towards the top end of the market here (not London or London prices) are just sitting there and some are being reduced.
I agree @Notmyyearthisyear that banks will be far more careful about valuations with higher LTV. They are only interested in protecting their money, not yours!
Looking at all the macro economic factors, it is certainly something to think about. House price to income ratios are now the highest they have ever been and interest rates are expected to rise more. This assumption that prices only ever go up (in real terms as opposed to with inflation) is a false one. It's a relatively recent phenomenon. The British are obsessed with ever rising house prices as a way of increasing their wealth and I fear that some people may come unstuck because of this in the not too distant future.

Prices are really buoyant here, I,m in Wales, no slowing here.
I bought a little terraced cottage last year and it has already increased by £25,000.
Pretty much what the above article says, I mean its not London prices but it is a lot for Wales.

Oh dear. Looks like I should really arrange an independent valuation after all!

Houses are like gold dust around here and selling incredibly quickly. I have several friends moving house whose offers went to sealed bids and one who paid over 50k over asking last week. But saying that, there are lots of stalled chains and houses coming back on again.

ok, what is your point? Growth is year on year value. Unless you think they are being sold for less than they would a year ago, which is highly unlikely then it’s growth.

They're def slowing in Devon. Everything went up a big chunk and now they're being put on at v ambitious prices and sticking (even at mad prices, they went for the last two years) and reducing. I think prices are going to settle about half way between two years ago and today (so I think anyone buying exactly now is going to be a bit burned - sorry). I'd get a proper valuation, or spin things out and be really ruthless in a couple of months time (well, I probably wouldn't do this, because I'm a wuss).

Not in this area (naice village on outskirts of large town in Home Counties), houses very similar to ours now selling for 55k more than we paid 11 months ago.

My point is that if they are coming back to the market after barely 3 months there must be a reason the sales are not completing.

Yes but that reason may be in the survey. Not just because of the price alone, but because the price doesn’t reflect the true condition of the building.
there are other reasons - the buyer may have had a change of heart or had their mortgage pulled - job loss, bereavement,
new baby, found something better, etc etc etc.

@Wilfulchaos I’m afraid you might be right!

I think it depends on the area. Just yesterday I had a polished card from a local estate agent through the door offering me an invitation from the directors of the company to have my home valued.....But I do know the property market in my area is still quite hot....