Purchasing property in summer 2023: is it a buyer’s or seller’s market?

There are many factors to consider when buying or selling a home, timing your purchase right being just one of them. As the weather warms, the property market becomes more active, with spring among the most popular times to buy in the UK.

While, during the height of summer, property sales slow due to the school holidays, there are some perks to purchasing your next home at this time as Realtor explains:

“Most buyers take the month off to celebrate the holidays, attend parties, host out-of-town guests and, quite frankly, avoid trudging around in inclement weather to look at houses. Or, maybe they’ve heard that this is a lousy time to buy a house. Whatever the reason, shopping for real estate at a time when fewer buyers are in the market can pay off big.”

Along with less competition, the summer holiday slowdown tends to mean more motivated home sellers. The properties themselves can be viewed in the most glorious conditions too, with the natural light the season is synonymous with showcasing the property, warts and all.

If you want to reap the rewards of purchasing this summer, understanding whether current conditions make the property sector a buyer’s or seller’s market is another must. In this blog post, we detail the difference between the two and what current market conditions are favouring.

What is a buyer’s market?

Put simply, a buyer’s market means economic conditions favour the ambitions of the individuals looking to purchase, giving them a distinct advantage over those selling their homes.

In a buyer’s market, properties tend to sell for less and/or sit on the market for longer before gaining that all-important offer. As a result, there’s more competition amongst sellers, with sellers more likely to reduce the price of their homes to attract buyers to their properties. With this, buyers have greater room for negotiation.

The property buying process tends to be slower in a buyer’s market too, as those wishing to buy are in less of a rush to put their offers in straightaway.

How does a seller’s market differ?

As you may have guessed, a seller’s market means current economic conditions favour those selling their properties. This translates as higher asking prices, higher offers, fewer opportunities for negotiation, and much faster sales.

A seller’s market tends to be flooded with would-be buyers, giving sellers the pick of the bunch. With an abundance of buyers, sellers may be more inclined to hold out for better, higher offers.

What are conditions like right now?

At last count, the number of properties for sale in the UK has slowed with prices falling from their peak level.

Despite fixed mortgage rates reaching a seven-month high and the cost of living crisis taking its toll, the sector is still favouring buyers of late, with less competition meaning the sellers of the properties that are for sale are more willing to negotiate on price. The reintroduction of the 100% LTV mortgage is also opening up the market once again to buyers up and down the country.

Lower house prices however affect the confidence levels of buyers and sellers alike. As a result, both parties need to alter their expectations and remain realistic when buying or selling a home.

‘Looking to buy a property this summer? Get your ducks in a row by speaking to our independent mortgage advisors today.