Rightmove reports the housing market is broken as it reveals the market has a mountain of unsold stock.
The reason Rightmove provide is due to a growth in new sellers coming to the market and a strong demand due to the mortgage drought. This has led agents being stuck with a stock pile of unsold properties.
It seems the first-time buyers and property investors are the main losers in this current climate of finance famine.
Currently the prices of property continue to climb and the stock levels are often doubling on 2009 figures.
- £237,134 is the average asking price on according to Rightmove
£168,202 is the average selling price on according to Halifax
£167,802 is the average selling price on according to Nationwide
That’s around £70,000 difference as a reality check for sellers
The sellers and purchasers have an imbalance that may take some time to resolve, causing fragile housing chains along the way.
This inefficient market was able to maintain prices as long as supply broadly matched demand.
With more sellers now marketing, this uneasy equilibrium is in danger of becoming unbalanced.
There aren’t enough ready-and-able buyers to soak up a surge in fresh stock, rightmove reports.