This represents an 8.1% increase on 2023's figures and 17.6% higher than 2019. Compared with last year, the price reduction rate in 2024 has increased most in the lower price bands - below £350k - and rose everywhere in the UK in 2024 except for Northern Ireland. Wales' price reduction rate had the largest growth, moving from 36% in 2023 to 40% in 2024.
TwentyEA examined the price reductions regionally and by price band and found there were two specific trends which suggested the reductions were not caused by agents overvaluing but instead were more likely driven by sellers with unrealistic price ambitions.
Katy Billany, Executive Director of TwentyEA explains:
“Firstly, price reductions are more prevalent within the lower price brackets and secondly there is an increase of price reductions concentrated within specific regions such as Wales. If agents were overvaluing, we would expect to see a more stark growth in price reductions across all price brackets and a more even spread of reductions occurring across the regions but that’s not the case, so we suggest sellers are demanding unrealistic asking prices.
“Given the prevalence of price reductions happening right now, we’re expecting to see this continue for the foreseeable future.”
