UK Housing Market Sees Homes Selling Quicker in October 2024 

The UK housing market has experienced a notable uptick in activity this October, with houses selling quicker than in previous months. According to data from property platform Rightmove, the number of homes sold in October 2024 has increased by a third compared to the same time last year. This surge in demand is driven by several key factors, including improved market confidence, more realistic pricing by sellers, and an easing of mortgage rates. As a result, homes are moving off the market faster, signaling a more competitive environment for buyers. 

 

Boost in Buyer Confidence 

One of the driving forces behind the faster sale times is a renewed sense of confidence among buyers. The economic uncertainty that gripped much of 2023 has somewhat stabilised in 2024, allowing prospective homeowners to re-enter the market with greater assurance. The lingering impacts of inflation and cost-of-living increases have moderated, and while the economy remains cautious, there's less fear of drastic interest rate hikes. 

This resurgence in market confidence has led to an increased number of buyers looking to capitalise on relatively stable conditions. The housing market is traditionally slower toward the end of the year, but the increased activity in October reflects a change in the typical seasonal pattern. Buyers seem eager to make purchases before any potential changes to mortgage rates or economic conditions in the months ahead. 

 

Easing Mortgage Rates Boost Demand 

Another significant factor driving the quicker sale of homes is the slight relaxation in mortgage rates. After a period of high interest rates in response to the inflation surge in 2023, rates have started to ease in 2024. While mortgage rates are still higher than in the low-interest years of the pandemic, the market has seen a dip that makes borrowing more manageable for potential buyers. 

With mortgage rates coming down, buyers are better able to secure financing for property purchases. This is especially relevant for first-time buyers and those looking to remortgage, as they now have more flexibility to act quickly. The increased affordability of mortgages has contributed to a rise in property demand, pushing homes to sell at a faster pace as buyers seize the opportunity. 

Mortgage rates are predicted to continue falling in 2025. - 

 

More Realistic Pricing from Sellers 

Sellers have also played a key role in driving the quicker sale of homes by adjusting their expectations. During 2023, many sellers held onto unrealistically high prices, believing that the market would continue to favor them. However, the slower market conditions earlier in 2024 forced a reevaluation, with many sellers now pricing their homes more in line with market trends. 

This shift in pricing strategy has made properties more attractive to buyers. The combination of realistic pricing and the desire to close deals quickly before year-end has created a perfect storm, with homes selling faster than anticipated. Sellers are becoming more willing to negotiate and settle for prices closer to the asking price, leading to quicker transactions overall. 

 

Regional Variations in Sale Times 

While the overall trend points to homes selling faster across the UK, there are regional variations in how the market is performing. Major cities such as London, Manchester, and Birmingham have seen particularly high levels of demand, pushing sale times down significantly. In these areas, the competition for properties is fierce, and homes are often being snapped up within days of hitting the market. 

You can see the most expensive places to buy a home in the UK here. 

 

On the other hand, more rural areas and smaller towns are experiencing a steadier, though still positive, increase in sales activity. These regions have also benefited from the easing of mortgage rates and improved pricing strategies, though the demand isn't as intense as in urban centers. As remote work remains a viable option for many, there is still a steady interest in properties outside of major metropolitan areas, contributing to quicker sales nationwide. 

 

Impact of New Housing Stock 

Another factor contributing to the quicker sale of homes is the availability of new housing stock. Several new developments have come to market in 2024, adding fresh inventory at a time when demand is high. These new builds, which often come with energy-efficient features and modern amenities, are especially attractive to buyers who may be concerned about future utility costs or the need for costly home renovations. 

The addition of new housing options also helps reduce some of the bottlenecks in the market by offering a wider variety of homes to choose from. This diversity in housing stock, combined with competitive pricing and mortgage accessibility, is helping to speed up transactions as buyers find homes that meet their needs more easily. 

 

The Role of Buy-to-Let Investors 

Buy-to-let investors are also playing a role in the quick turnaround of property sales. With the rental market remaining strong, many investors see the current housing market conditions as a prime opportunity to expand their portfolios. Lower mortgage rates and the potential for long-term rental income make it an appealing time for landlords to purchase additional properties. 

As a result, buy-to-let investors are snapping up homes that are suitable for renting, contributing to the overall speed at which properties are being sold. This has been particularly noticeable in cities with high demand for rental properties, where investors are keen to secure homes before the market becomes more competitive. 

 

Outlook for the Rest of 2024 

Looking ahead, the trend of homes selling faster is expected to continue, especially as we move into the final months of the year. Buyers are eager to finalise purchases before any potential economic changes, and sellers are motivated to close deals before the holiday season slows down activity. 

However, experts caution that the market may face some uncertainty in early 2025, depending on how interest rates and inflation evolve. While the current environment is favorable for quick sales, any shifts in these key factors could influence how the housing market performs in the near future. 

 

In summary, October 2024 has seen a notable increase in the speed at which homes are being sold across the UK. Improved market confidence, easing mortgage rates, and more realistic pricing from sellers have all contributed to this surge in activity. As the housing market adapts to these conditions, both buyers and sellers are benefiting from quicker transactions, making this an exciting time for the UK property market.