Homes could lose thousands in value after weeks on the market
- Homes sold at 14 days typically achieve close to asking price
- The speed of a house sale can make (or cost) sellers thousands
- Homes sold after 1 month achieve 98% of asking price, dropping to 91% after two months – costing homeowners £20,000 off an averagely priced property
14 days is the optimum length of time for a property to be listed on the market in order for it to achieve the maximum sale price, according to analysis from HomeOwners Alliance’s estateagent4me tool.
Agents with an average selling time of 14 days achieve the highest asking price at 99.4% of their stated price.
Data from over 6,500 estate agent branches across Britain shows how the eventual price paid for a property steadily decreases over time. After four weeks on the market, sellers typically accept just under 98% of their original asking price; after eight weeks this drops to 91% and to 90% after 12 weeks. Similarly, agents whose average selling time was less than 14 days achieved only 97.5% of their asking price.
With the average UK home now changing hands for well over £200,000, these few percentage points will equate to thousands, or even tens of thousands, for sellers. Urban Lighthouse in Bristol, was one of the agents with a 14-day selling record and netted its clients approximately £12,000 over their original asking price of £355,760. By contrast, one of the lower performing agents selling a property of similar value and with an average selling time of three months, achieved 89.5% of asking price, costing its seller more than £41,000.
Based on average property prices across the UK (£235,000), a 14-day sale will mean the owner would be close to achieving their asking price (£1,400 below). However, the amount by which they fall short of their asking price increases significantly the longer the property is on the market. After one month, the price drop is more than £5,000 off the asking price, and the drop is more than £20,000 after 2 months on the market.
 14 days is from the day of listing to SSTC (sold subject to contract)
|Average number of days on market||Average % of asking price achieved||Amount below asking price (based on average UK property price of £235,000)|
|30 days (1 month)||97.79%||£5,194|
|60 days (2 months)||91.33%||£20,375|
|90 days (3 months)||90.38%||£22,607|
Paula Higgins, Chief Executive of the HomeOwners Alliance, said:
“This illustrates how important it is for sellers to get the price right when listing a property. A good estate agent will help you do this – our advice is to choose your estate agent wisely.”
“Draw up a shortlist based on their track record, not their sales pitch. Estateagent4me lets you rank local estate agents by the time it takes to sell a property like yours, how close they get to achieving asking price and the fees they charge. And don’t be enticed by agents over-valuing your property just to get your business.”
“If you’re selling a home which has been languishing on the market, speak to your agent and review the asking price. You may also want to switch estate agent to one that has a better success rate in your local market.”
“Homebuyers should also find this research insightful, as it gives even more weight to homebuyers negotiating on the asking price for properties that have been on the market for a number of weeks. Most property search websites post the date that a property was first listed. It might just be worth scrolling down that list to find a home that can be snapped up for a bargain price.”
Laurence Irvine, Director of Urban Lighthouse, said:
“A keenly priced property will help to maximise the initial buzz which comes with a property new to the market and increase the chances of competing bidders, resulting in achieving a higher eventual price than if you start over-optimistically.
You will never recapture that initial buzz – even if you reduce the asking price further down the line.”
Our top tips for homeowners looking to sell on the all-important “14th day”:
- Boost your home’s kerb appeal. Our recent survey found that 68% of buyers found kerb appeal to be important when they bought their home. The features that matter most to homebuyers are windows being in good condition and a roof that doesn’t need repair. For other important features and how to make attract buyers and sell for a top price, see our research on how to boost your homes kerb appeal
- Make sure the price is right. Too high and you won’t get any viewings, too low and you’ll miss out on getting what your house is worth. Speak to your estate agent about your pricing strategy. One helpful source of information is what houses in your area sold for which can be viewed on the Land Registry site
- Find your conveyancing solicitor ASAP. As soon as you have put your house on the market, find and compare quotes from conveyancing firms. Instruct your preferred firm and ask them to start pulling together a draft contract and start any basic work, such as the title enquiry.
To find the best estate agents in your area, head to estateagent4me
Please contact Paula Higgins at [email protected] or on 07947 240 293.
We are happy to provide a video on top tips to choosing an estate agent. https://hoa.org.uk/advice/guides-for-homeowners/i-am-selling/find-best-estate-agent/
About the HomeOwners Alliance
The HomeOwners Alliance champions the interests of Britain’s homeowners and aspiring homeowners. We are a property advice website providing helpful advice and services for all the key moments of buying, selling and owning your home.
Average number of days on the market is defined as the time from listing of the property to a sale subject to contract (SSTC). The average time to sell in each month is determined by calculating an overall average of all of the agents’ average time to sell amongst those agents appearing in estateagent4me search results for a particular month (approximately 25,000 searches per month). The average time to sell measure for each agent is calculated using the time to reach sold subject to contract for all properties advertised by this agent on websites during the previous 180 days.
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The complex statistical estateagent4me engine is fed daily with property data from thousands of estate agents to provide accurate comparison data. The engine looks at key stats about the agents, including:
Their average success rate (how likely they are to sell a home) – this is determined by the percentage of all properties found advertised by this agent on websites during the last 180 days that were subsequently advertised as sold subject to contract.
Whether they achieve the asking price – this is calculated by dividing the sold price (as recorded at HM Land Registry) by the initial advertised asking price averaged for a representative sample of properties found advertised by this agent on websites during the previous 180 days.
How long, on average, it takes to sell a property – this is determined by calculating each agents’ average time to reach sold subject to contract for all properties advertised by this agent on websites during the previous 180 days.
This data is then backed up with publicly available data from the Land Registry.
For more information, see how the estateagent4me comparison tool works Findings are based on data from over 70,000 searches during January 2020.
Advice for Home Sellers
People who are thinking about selling their home can read our step-by-step guide to selling their home on the HomeOwners Alliance website:
The HomeOwners Alliance is a property advice website and Britain’s only organisation to champion, support and serves Britain’s 17 million homeowners, and the 5 million of you aspiring to own your own home. They provide unbiased and practical advice as well as services you can rely on whether you’re buying, selling or owning your home. Find out more by visiting www.hoa.org.uk [hoa.org.uk]