UK housing sales poised for steepest drop since 2012, driven by borrowing rates

Posted on September 1, 2023   |  

UK housing sales for 2023 could reach levels last seen in 2012 due to increased borrowing costs.

Zoopla data indicates a potential 21% decrease in sales compared to the previous year, with mortgage lead sales projected to drop by 28%.

Despite lower mortgage rates, low consumer sentiment and financial constraints are discouraging potential buyers.

In August, London's house price growth slowed by 1%, with an average home price of £542,000.

The upcoming Bank of England rate decision on September 21 will serve as an indicator of buyer sentiment during the upcoming months.