July saw the price of property coming to market has fallen for the first time in 2019 according to Rightmove’s House Price Index.
Property prices saw a monthly decline of 0.2%, with prices of homes with four bedrooms or more seeing a 1.1% decrease.
Miles Shipside, director and housing market analyst at Rightmove, said: “The housing market fundamentals remain largely sound in many parts of the country.
“However the current political climate means that the crucial ingredient of confidence has been impaired, and that is causing some potential buyers and sellers to hesitate.”
Less property is reportedly coming to market, leading to estate agents average stock per branch being at its highest levels since 2015.
Shipside added: “Growing numbers of properties on agents’ books even though fewer properties are coming up for sale are evidence of a more challenging market, with more sellers competing to get their transaction over the line.
“With activity and prices often weaker in the second half of the year, it will be those sellers who are bold enough to price aggressively who will attract buyers with the confidence to act rather than hesitate.”
There are fewer properties coming to market with a year-on-year decrease of 7.8% and fewer sales being agreed, with the average time to secure a buyer at its longest since 2013.
This comes as UK Finance recently revealed that mortgage approvals from the main high street lenders in May was up by 9.1% compared to the same time last year.
Kevin Roberts, director at Legal & General Mortgage Club, commented: “Despite a slowdown, the property market remains resilient.
“Our research has shown that only 12% of consumers who had plans to buy in the next six months had delayed their decision because of Brexit.
“For those taking their first steps onto the ladder, the help to buy scheme has been a great support.”
Jeremy Leaf, former RICS residential chairman, said: ‘Although based on asking prices, the Rightmove numbers always prove a useful and more up-to-date indicator of market strengths than some other surveys, with the sales agreed numbers always particularly interesting.
‘The figures confirm what we are seeing at the coalface – while caution and uncertainty remain in some quarters, demand cannot remain pent-up indefinitely.
“Buyers are looking beyond Brexit and taking advantage of improving affordability, softening prices and greater realism among sellers.
“However, the slow pace and length of transactions as well as the fragile nature of some elements of chains, continue to cause frustration.”