Property sales plummet in England and Wales

There has been a 58% drop in property sales across England and Wales in the past year, research reveals.

The findings from estate agents Nested compare the first quarter of this year to the same period last year.

And by analysing the property sold price data from the Land Registry it found that 76,489 properties were sold during the first quarter of this year.

That is a staggering 104,450 fewer homes being sold than in the first quarter of 2022.

‘Significant impact on buyer demand’

Nested’s managing director, Alice Bullard, said: “The higher cost of living, increasing interest rates, a disastrous mini-Budget and the resulting turbulence seen across the mortgage sector all had a significant impact on buyer demand levels during the closing stages of last year.

“While 2022 may seem a long way away now, what we’re currently seeing is the knock-on effect from this reduction in market activity, with the lower level of sales agreed now reaching completion.”

She added: “The good news is that the industry has widely reported an uplift in activity almost immediately in 2023 and so while we’re yet to see this materialise in terms of actual homes sold, we can expect to see an uplift over the coming months as these sales finally reach the finish line.”

South East saw the highest number of home sales

The South East saw the highest number of home sales in 2023 with 12,822 transactions, but this figure still represents a 58% decline compared to the previous year.

The East Midlands and Wales experienced the most significant reductions in market activity, both witnessing a 60% drop in home sales.

However, Birmingham had the most home sales this year with 1,070 transactions completed between January and March, followed by Leeds (1,043), North Yorkshire (938), Cornwall (920) and Somerset (876).

Every area in England and Wales saw a decline in market activity

Despite those figures, every area in England and Wales saw a decline in market activity compared with the same period last year.

North West Leicestershire recorded the largest reduction, with a 73% annual drop in completed transactions – from 430 to 118.

Other areas with a substantial decline in property sales include Harborough (-70%), Anglesey (-70%), North Warwickshire (-69%) and Melton (-69%).

Gloucester experienced the smallest reduction in transaction levels, though the number of homes sold still fell by 44% year on year.

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