News

Buyers fail to grab bargains

Rightmove blames the mortgage drought for the state of the market, adding that transactions are in danger of dropping to levels last seen in 1959.

Despite fears that there could be a surge of properties put on the market as the slumping economy and soaring prices forced more borrowers into difficulties with their mortgages and pushed asking prices even lower, Rightmove says that there is no sign yet of a rush of homes for sale. New listings are 106,000, about 25pc lower than typically seen at this time of the year. Mr Shipside said: “Those who do not have to sell are holding off.”

Rightmove suggests that there is resilience in the housing markets in areas that will benefit from the extension of the East London Tube line, due to open in 2010, with prices in Tower Hamlets, Hackney and Islington remaining higher than a year ago.

Asking prices have risen in the past month in the East Midlands, up 1.6pc, but fell sharply in the North West and in East Anglia, down by 3.3pc, respectively.