The average asking price of properties coming to market has dropped by 0.6% or £2,044 to £342,401 since October, marking the largest monthly fall since January, according to figures from Rightmove.
However, annual price growth continued, with prices up by 6.3% year on year, down marginally on October’s figure of 6.5%.
Agents report that many homeowners are getting their homes ready to sell and get to market in time for a surge in interest from buyers researching potential properties online over the festive period.
The number of potential sellers requesting a valuation from an estate agent via the Rightmove website was 14% higher in October than the same period last year in a sign that momentum is building.
The number of people browsing properties on Rightmove during the post-Christmas Day festive period has been increasing every year, with visits on Boxing Day last year 54% higher than the previous year.
Rightmove director of property data Tim Bannister says: “Despite the soaring property market and consequent shortage of choice of homes for sale for prospective buyers, new sellers have given buyers an early Christmas present by dropping their average asking prices by 0.6%.
“Sellers who come to market this close to the distractions of Christmas often have a pressing reason to sell, so naturally price more attractively to grab the attention of prospective buyers who may be otherwise occupied.
“We expect this downward price trend to be relatively short-lived, though sellers who are in a hurry will continue to need to attract buyers for most of December as well.
“As soon as Christmas Day is out of the way, there’s a boom in people searching for property on Boxing Day, perhaps with time available during the holiday season and a resolve to enjoy their next Christmas in new surroundings.
“That is likely to push prices higher again, and increase the competition from other buyers.
“Some of those additional buyers will also be new sellers who have held back from launching their property to market until this Boxing Day buyer boom, judging it to be a good time to sell and to move in 2022.”
Bannister says: “Sellers often wait until January to get their home on the market, but this year agents say that more people are trying to get a head-start on making 2022 their year to move by doing a lot of the prep before the New Year, including having their home ready to market during the Christmas period.
“Some savvy sellers are planning to get their photos taken before they put up their decorations, so that their property advert doesn’t look dated in January.
“Sellers can also agree with their agent a date when viewings can start in January if they’re worried about having time to tidy up after Christmas, which would give the agent time to generate interest in their home.
“Plus, if they are able to secure a buyer for their home early in the New Year and they are looking to buy again, it puts them in a powerful position to secure their next property.
“In the current market, it’s a real advantage to be a ‘power buyer’, and have already sold your current home subject to contract when looking for somewhere to buy, putting you ahead when trying to buy another property, where there are other offers already on the table.”
Thomas Morris Sales & Lettings managing director Simon Bradbury says: “With the holiday season coming up fast, sellers planning to enter the market might be tempted to put off beginning the process of putting their home on the market until the New Year.
“However, Boxing Day is historically the start of a busy period of both new sellers coming to market, and a resurgence of prospective buyers browsing properties.
“So, if they wait until January to begin the selling process, they may have missed out on a valuable period of time to attract buyers.
“Sellers would be wise to use this window of opportunity to begin the process of getting their home on the market now, by getting their property valued and speaking to an agent about marketing activity.
“This in turn puts them at the front of the queue, and in a more powerful position to proceed when looking to secure their next home.”
Northfields Estate Agency managing director Richard Palfreeman says: “It is always pleasantly surprising to see how busy we get with serious buyers and investors looking to buy just before Christmas.
“People looking to move to a new home often get caught up with Christmas festivities and pause their search until the New Year, leaving those who are still looking before Christmas able to purchase with less competition.
“We often find in November and December that there are vendors who are motivated to secure a sale, and there are some great bargains to be had for buyers.”
