The value of homes sold in England during 2023 was around half that of 2022, according to an analysis by eXp UK, the platform for personal estate agents.
Using Land Registry sold price data, the company analysed the sold price of all homes in England from January to December 2023. A total of £154.7 billion worth of property was sold in England during the year, down £141 billion from 2022 or -48%. In addition, there were -47% of transactions over the same period.
The yearly figures illustrates just how difficult market conditions have been over the year.
Higher interest rates and market uncertainty have restricted the amount buyers can pay for a property, as well as reducing the number of buyers able to commit to a purchase.
Of the English regions, London recorded the largest annual decline in average home value, at -4.8%. London still accounted for 22% of the national total value of property sold in 2023 with £40 billion worth of sales. To put this figure into perspective, Surrey saw the second largest annual decline in home value but only accounted for 4% of the national total with £5.8 billion worth of sales.
The only counties that sold under £1 billion worth of homes in 2023 were: City of London (£60.5 million), Rutland (£101.7 million), Isle of Wight (£383.3 million), Herefordshire (£366.7 million) and Northumberland (£623 million).
The largest reductions in total value of homes sold in 2023 were Bedfordshire (-56%), Buckinghamshire (-53%), Lincolnshire (-52%), Cambridgeshire (-52%) and Northamptonshire (-52%).
The 2023’s figures have been compared with those of 2022, when the housing market was rebounding strongly from the pandemic. That, along with more stable interest rates and falling inflation, together with a potential reduction in the base rate, should be good news for the housing market as buyers regain their confidence. Looking forward, there is an expectation that the total value of homes sold in 2024 will increase.