Quick Move Now Fall Through Index

What are the chances of a house sale falling through?

2012-05-10T13:08:00.004+01:00

Quick Move Now house sale fall through index – April 2012

One third (30.32%) of house sales fell through in April 2012.
Finance continues to be the main reason why many buyers cannot follow through to completion.
Unlike previous years where the rate proved changeable, the 2012 fall through rate has remained fairly constant from January through to April.

Quick Move Now reports that the house sale fall through rate for April 2012 was 30.32%, so around one in three sales failed to reach completion. Such a high chance of fall through is difficult to manage for a company with an experienced team driving the sale process, let alone for an individual homeowner trying to juggle a chain of buyers. Once again, the main reason for sales faltering was finance so, in most cases, the seller was at the mercy of their buyer who was, in turn, at the mercy of their mortgage lender.

Donna Houguez, Market Analyst for Quick Move Now, comments: “The fall through figures remained at approximately 30% for the whole of the first quarter of 2012 and this pattern continued into April. We analysed the trend for January to April over the last six years and found that the 2012 rate has been the most consistent, as shown in the graph below.

In previous years, the fall through rate has constantly fluctuated within the first four months and this is particularly evident when studying the rate for 2008 (in the graph above). The fall through rate for January to April in the years 2006-2011 proved changeable whereas, this year, fall through levels have barely altered thus far. It will be interesting to see whether fall through levels deviate from 30% over the coming months or whether this is a longer term stagnation.”

Data Calculation:

Quick Move Now sells hundreds of properties each year and the fall through statistics are calculated month-on-month using a six-month average. In reality, the fall through rate for homeowners would be approximately 10 – 15% higher as Quick Move Now has a professional resale team proactively managing the completion process.

Company Information:

Quick Move Now is the UK’s leading home buyer, offering a quick, secure and hassle-free house sale. Our experienced team, efficient processes and substantial cash reserves allow us to make immediate purchases, enabling customers to sell their houses quickly and move on with their lives. For further industry analysis and comment, please contact donna.houguez@quickmoveproperties.co.uk.

Tel: 0800 068 3366

www.quickmovenow.com

What are the chances of a house sale falling through?

2012-04-18T17:45:00.001+01:00

Quick Move Now house sale fall through index – March 2012

Quick Move Now provides one-of-its-kind data to property analysts to help with assessment of the housing market.

The house sale fall through rate for March 2012 was 30.03%, so just over one in three house sales did not result in completion. The chance of a sale falling through has remained similar since January 2009 and there is a correlation between the state of the property and mortgage markets and the level of sales that falter.

Donna Houguez, Market Analyst for Quick Move Now, comments: “The fall through rate in March 2006 at the peak of the market was 13.60%, compared to 30.03% in March 2012; the chance of a house sale falling through is currently more than double what it was in the same month six years ago, which shows just how difficult it has become to retain a buyer until completion. It is unlikely that the market will recover to the more manageable 2006 levels in the near future.

The longer the chain of people involved in a house sale, the higher the chance of fall through. Even if a vendor’s direct buyer is in a strong position for exchange and completion, the financial situation of other buyers further down the chain can cause problems.”

Data Calculation:
Quick Move Now sells hundreds of properties each year and the fall through statistics are calculated month-on-month using a six-month average. In reality, the fall through rate for homeowners would be approximately 10 – 15% higher as Quick Move Now has a professional resale team proactively managing the completion process.

Company Information:
Quick Move Now is the UK’s leading home buyer, offering a quick, secure and hassle-free house sale. Experienced researchers and independent valuers work together to ensure that offers made are fair and a friendly, supportive team looks after the customer every step of the way. For further industry analysis and comment, please contact
donna.houguez@quickmoveproperties.co.uk.

Tel: 0800 068 3366
www.quickmovenow.com

What are the Chances of a House Sale Falling Through?

2012-03-14T12:35:00.002Z

Quick Move Now House Sale Fall Through Index - February 2012

Quick Move Now provides one-of-its-kind data to property analysts to help with assessment of the housing market.

The house sale fall through rate for February 2012 was 29.32% and so the chance of fall through has remained at around one in three for the past year. Despite the incentive of the the first time buyers’ stamp-duty holiday, fall through levels were still in line with consistent rates and didn’t show any drastic change.

Danny Luke, Business Manager for Quick Move Now, comments “February’s fall through figure is lower than it was at the same time last year yet is still a long way adrift of the pre–crash rates of 2006 and 2007 and individual homeowners are most at risk of losing a buyer.”

“The main causes of a house sale fall through still involve finance. Quickmove has found that potential buyers struggle to raise deposits or obtain mortgage lending and they only hear about potential mortgage problems near to completion, which is distressing for all involved. Government schemes such as the right to buy council houses and the 5% deposit mortgage guarantee for new homes may help to ease the pressure on the housing market – it will be interesting to see what sort of effect they have.”

Data Calculation:
Quick Move Now sells hundreds of properties each year and the fall through statistics are calculated month-on-month using a six-month average. In reality, the fall through rate for homeowners would be approximately 10 – 15% higher as Quick Move Now has a professional resale team proactively managing the completion process.

Company Information:
Quick Move Now is the UK’s leading home buyer, offering a quick, secure and hassle-free house sale. Experienced researchers and independent valuers work together to ensure that offers made are fair and a friendly, supportive team looks after the customer every step of the way. For further industry analysis and comment, please contact donna.houguez@quickmoveproperties.co.uk.

Tel: 0800 068 3366
www.quickmovenow.com

What are the chances of a house sale falling through?

2012-02-15T15:50:00.001Z

Quick Move Now House Sale Fall Through Index - January 2012

Quick Move Now provides one-of-its-kind data to homeowners to help with assessment of the housing market.

The house sale fall through rate for January 2012 was 30.47% so around one in three house sales did not result in completion. Dan Luke, Quick Move Now’s Business Manager, comments: “Although significantly lower than the peak seen during 2008, the fall through rate has remained stagnant at around 30% for the past 12 months. Taking out the seasonal variation by comparing the figures for January (see below), it is apparent that the rate has remained fairly constant for the past four years and it is not expected to drop back to the 2006 level of under 15% at any point in the near future”.

Fall Through Rate – Annual Comparison

January 2009	January 2010	January 2011	January 2012
34.57%	36.13%	30.72%	30.47%

“Such a consistently high fall through rate is difficult to manage for a company, let alone an individual homeowner. The most common reason for house sale fall throughs at present is lending issues. Often the problem is not with the direct buyer, but with a buyer further down the chain”.

Data Calculation:
Quick Move Now sells hundreds of properties each year and the fall through statistics are calculated month-on-month using a six-month average. In reality, the fall through rate for homeowners would be approximately 10 – 15% higher as Quick Move Now has a professional resale team proactively managing the completion process.

Company Information:
Quick Move Now is the UK’s leading home buyer, offering a quick, secure and hassle-free house sale. Experienced researchers and independent valuers work together to ensure that offers made are fair and a friendly, supportive team looks after the customer every step of the way. For further industry analysis and comment, please contact donna.houguez@quickmoveproperties.co.uk.

Tel: 0800 068 3366
www.quickmovenow.com

Aborted Sales Rate Heads Towards 30% Again

2012-01-09T13:23:00.000Z

Quick Move Fall Through Index (FTI) - December 2011

Aborted Sales Rate Heads Towards 30% Again

Quick Move FTI* at 29.16%.

Fall through rates for December increased and are heading towards 30% again, proving that the slight decrease in November was an anomaly and gave false hope. We continue to experience a subdued market with the double concern of less buyers and higher sale abortion rates.

Many factors combine to create uncertainty within the market and, as a natural progression, house sales become unstable. Sale abortions are caused due to buyer reticence, a lack of buyer, seller and lender confidence, a lack of buyers in general, difficulties within the mortgage market, problems abroad and economic worries such as job insecurity, inflation and interest rates. With such a large number of contributing factors determining the successes and failures of the market, it is no wonder that nearly 30% of Quick Move’s sales are currently falling through.

In reality, the chance of a fall through would be a lot higher than 30% for homeowners. As a business, we have established an efficient and experienced team responsible for managing each individual sale which means that fall through rates can be kept to a minimum. Even with this team in place, sale abortion rates remain high which means that homeowners face an even higher risk of sale abortion and the impact is magnified. Not only has Quick Move Now’s sale abortion rate increased, the amount of sales agreed has decreased which shows that finding a buyer in a position to proceed is becoming ever more difficult.

Homeowners desperately want some good news to carry them into 2012 but as we start the New Year, it is looking more and more likely that the tough market conditions will continue; experts are advising that the best we can hope for is more of the same as the likelihood is that conditions will worsen. The economy shows no real sign of recovery so the property market will in turn remain weak. Unless buyers regain faith in the market, can afford deposits and mortgages and can avoid economic troubles, we won’t see a significant improvement for a long time to come.

*This figure is based on house sales that are professionally qualified and managed so the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Rate is now 26.8%

2011-12-06T16:53:00.000Z

Quick Move FTI at 26.8% for November.

Unusually, especially for the time of year, Quick Move’s fall through rates for November were slightly lower than for the previous month; we are wary of this improvement, however slight, and are endeavouring not to be fooled into a false sense of security. The lower fall through rate masks the true story and gives false hope: it has been increasingly more difficult to secure sales as buyers able to proceed are rare. Overall, properties have been on the market longer and asking prices have had to be reduced numerous times in order to affect a sale. Many viewers are stuck in chains with properties to sell, struggling to obtain mortgage funding or raise a deposit or have lost confidence in the housing market and economy. As a result, finding a buyer is very difficult and, even when a buyer has been secured, 26.8% still signifies a high chance of fall through.

Within the company, we have an individual department responsible for managing the sale progression of our properties yet we still cannot rule out fall throughs. Although our fall through rates for November decreased slightly, the improvement is misleading and the rate would be higher and more difficult to manage for independent home sellers, especially in a falling market with a high level of asking price reductions and prolonged periods spent trying to sell. The housing market continues to be unpredictable and unstable.

Unfortunately, sales abortions are unavoidable. There are number of factors which can cause a sale abortion which include problems within the economy such as job uncertainty, redundancies, interest rates and inflation, the difficulty of obtaining mortgage lending and raising a deposit, other buyers within the chain pulling out, problems at survey and uncertainty within the market in general. As a result of the current economic problems, people are often reticent and are pulling out of sales at different stages of the process because they are afraid of committing.

Many homeowners are desperate for a change of fortune in 2012 and are reliant on the economic situation improving in order to sell their properties. An imminent revival within the economy is highly unlikely and predictions suggest that we could be waiting until the end of next year before we see signs of recovery. Without recovery within the economy, the housing market cannot be expected to pick up. If predictions are correct, 2012 is set to be as difficult and concerning as 2011: only time will tell.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Rate remains around 30% in October

2011-11-09T11:32:00.000Z

Quick Move FTI* at 29.58%.

Fall Through Rates for October remain similar to previous months and continue to hover around 30%. Within a business, a fall through rate nearing 30% is difficult to manage; for a homeowner trying to sell, the impact is magnified and can cause even more worry, stress and delay. Not only have Quick Move Now’s sale abortion rates remained similar, the amount of sales agreed has decreased which shows that, as the year end approaches, less and less people are able to find buyers.

There are a number of factors which affect sales and abortions can occur due to financial issues (including mortgage lending and deposits), economic difficulties (redundancy, job uncertainty, inflation) and general problems (such as buyers lacking confidence in the market and chains collapsing) among others.

Whereas in previous months, lots of buyers were becoming reticent and pulling out of sales after their offer had been accepted, recently it seems that many buyers aren’t keen to even make offers. People who are in a position to buy and able to proceed are in the minority anyway so, if these buyers aren’t willing to commit, the market conditions will worsen and the difference between the high numbers of properties on the market and the falling number of buyers will become steeper. Again, we find ourselves in a buyers’ market but the number of buyers able to proceed appears to be dwindling.

As predicted, the fall through rates have remained rather constant and the worry of escalating sale abortions still lingers. It can become increasingly more difficult to sell over the winter period so lots of homeowners may find themselves trapped on the market well into the New Year, unable to find a buyer and make the move or fresh start they desire. There don’t seem to be any signs of recovery within the economy or the housing market so we may see conditions worsen over the next few months and the uncertainty and instability could continue into 2012.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Rate over 30%

2011-10-25T20:47:00.003+01:00

Quick Move FTI* at 30.46%.

Unfortunately, whereas there had been a plateau in the fall through rates between May and August, September saw an increase which spells further trouble for the housing market. The prospects for the latter part of 2011 and beginning of 2012 look even gloomier considering the fact that the number of sales agreed remains well under half the sale levels seen in 2007. Low sales volumes and an increasing fall through rate is a double blow and, for the ordinary vendor especially, causes considerable heart ache and cost.

Sales fall through due to a number of reasons: it can be due to the difficulty of obtaining mortgage lending and raising a deposit, other buyers within the chain pulling out, problems at survey, job insecurity and uncertainty within the market in general. As a result of the current economic problems, more and more people are becoming reticent and are pulling out of sales at different stages of the process because they are afraid of committing.

Even with a dedicated team managing the sale progression of our properties, abortions are unavoidable. The fall through rate would be higher and even more difficult to manage for independent home sellers, especially in a falling market with a high level of asking price reductions and long periods of time being spent on the market. It is not predicted that the economy will recover soon either which could mean more unemployment, falling asking prices, a lack of mortgage lending, higher inflation and, ultimately, an even higher rate of fall throughs if vendors are lucky enough to secure a sale in the first place.

Troubling predictions for the economy and the housing market extend into 2012 and, therefore, fall through levels may remain at 30% or even increase over the coming months as 2011 comes to a close. Sale abortions at this time of year result in the need to market over the winter period when the number of viewings traditionally decreases and the cost of maintaining a property increases due to the cold weather. Offers from buyers in a position to proceed are notoriously difficult to secure and, unless vendors are dealing with genuine cash buyers, fall through rates will inevitably rise.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Rate At 28%

2011-09-22T13:32:00.002+01:00

Quick Move FTI* at 28%.

We continue to experience a subdued market place with similar levels of uncertainty amongst buyers and sellers alike.

Confidence in the market remains low as more and more people find themselves stuck in chains with a high chance of the chain collapsing. The more people involved in the chain, the higher the risk of collapse.

Even with a dedicated team managing the sale progression of our properties, abortions for our company are unavoidable. The fall through rate would be higher and even more difficult to manage for independent home sellers, especially in a falling market with a high level of asking price reductions and long periods of time being spent on the market.

The high level of sales falling through can be attributed to many different factors from general economic worries to difficulty obtaining mortgages to survey problems and concerned buyers.

Market conditions are not expected to improve throughout the latter part of 2011. It is increasingly more difficult for buyers applying for mortgages, the economy does not appear to be recovering and even when buyers are found, there is no guarantee that the sale won’t fall through. Many people feel that the sale of their property is out of their hands as it is dependent on so many other factors and relies on other buyers. With Quick Move Now, a sale is guaranteed and, as we are cash buyers, a mortgage is not required in order to buy which means that homeowners can sell efficiently, assuredly and without the doubt associated with a traditional house sale.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Rate hover around 30%

2011-06-20T12:16:00.003+01:00

Quick Move FTI* remains at 30%.

The property market has remained very subdued during 2011 and the usual spring selling season seems to have passed us by.

With it being so difficult to find a buyer, a fall through rate of 30% is the final straw for many home sellers.

As usual there are many reasons for aborted sales. Job insecurity, nervous buyers and chain related problems. However the main problems still relate to buyers securing mortgage finance. Mortgage companies and banks are making it very difficult for most buyers to get a mortgage.

Many buyers who have a mortgage agreed in principle when they first start looking at properties then find their application rejected by the lender. This means that an agreed sale is very uncertain right up until the mortgage offer being made and formal exchange of contracts.

Unfortunately we don’t see this situation changing in the short term. There is still a concern of falling house prices and there is no real appetite for more lending by the banks.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Rate Rises to 34%

2011-03-10T15:27:00.004Z

Quick Move FTI* increases to 34%.

The second half of 2010 saw the rate of aborted sales gradually increase and this trend seems to have continued into 2011.

House sales fall through for many reasons. Common causes are a buyer or seller changing their mind, job insecurity, issues at survey and problems obtaining mortgage finance.

The reason why aborted sales are so common is that the majority of house sales in the UK depend on a chain of other transactions. If one link in the chain breaks then every other property sale is at risk and so the number so sellers/buyers effected increases exponentially.

Unfortunately with market conditions likely to remain difficult during 2011 it is likely that many more house sellers and buyers will experience a chain break situation.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Rate At 31%

2011-01-10T17:26:00.004Z

Quick Move FTI* ends the year at 31%.

It has been a difficult year for home buyers and sellers, the property market has fluctuated greatly and the FTI shows that the levels of aborted sales have followed a similar trend.

2010 really was a game of two halves. Early on we saw greater optimism, rising prices and improving sales volumes. It was therefore not a surprise that the volume of aborted sales improved, as competition increased the determination of buyers to complete.

However during Autumn it became clear that the house price rally had no real substance and with the announcement of huge government cut backs we have seen sentiment change. With expectations that prices will fall and that times will be hard we saw buyers lose confidence. Reducing confidence and increasing difficulties in obtaining mortgage finance have inevitably led to more aborted sales.

So what to expect for 2011? Well unfortunately probably more of the same!
Many people want to buy and significant pent up demand has built up over the last 2 to 3 years. This would normally lead to rocketing prices but the demand will be tempered by continuing difficulties for most buyers to obtain mortgage finance and low confidence levels due to general economic outlook. All this uncertainty will lead to fluctuating prices and aborted sales.

Aborted Sales Continue to Increase

2010-12-15T17:26:00.003Z

Quick Move FTI* over 31%.

Aborted sales continue to increase as market conditions worsen.

There is a lot of uncertainty out there at the moment, no one knows which way the housing market is headed and the threat of redundancy looms for many.

Therefore many buyers are getting cold feet and are pulling out of transactions. More still are so jittery that even a slight issue at survey or problem securing the mortgage they wanted will result in them pulling out of the purchase.

This situation is likely to get worse not better. Prices are expected to fall next year, mortgage lending will be further constrained and general uncertainty in the economy will increase. All this is likely to spell another difficult period for the housing market.

What is the Quick Move FTI?

Not all property sales that are agreed go on to complete and the percentage of sales falling through varies greatly with prevailing market conditions.

When a chain collapses sellers can face a number of issues:
-Large delay in selling as whole marketing/sale process is restarted.
-Lose onward purchase.
-Remain exposed to changing market conditions.
-Lose out financially with costs sunk into solicitors, estate agents, home information packs, survey and mortgage fees often exceeding £2000.

Quick Move agreed over 500 sales last year but like any seller we have trouble with chains and sales falling through. This is despite a dedicated sales progression team and detailed assessment of every buyer, their finances and related chain. The average home seller doesn’t qualify buyers to the same degree, so the general market fall through rate is much higher.

The Quick Move FTI is a 6 month moving average measuring the percentage of agreed sales that fall through.

The index is uniquely placed to give a current indication of how market conditions are affecting general home owners looking to sell their property.

Quickmovenow.com specialises in the rapid cash purchase of residential property. And our professional and competitive service provides clients with a quick, secure and efficient sale.

We assist clients in a range of circumstances but if your specifically want the certainty of selling without the complications of a chain or have been involved in a broken chain and want to secure your onward purchase-Quickmovenow.com could help.

If you want more information please complete a free online estimate or contact us direct on 0800 068 3366.

Aborted Sales Fall

2010-11-03T15:55:00.002Z

Quick Move FTI* back up to 28%.

After dropping to the lowest level for 4 years we have seen the fall through rate increase again.

So what has caused this turnaround? The threat of public sector cutbacks has definitely impacted on buyer confidence but we feel it is the tightening of mortgage lending that has really hit home over the past few months.

Over several months the statistics from CML and BBA have shown that the amount of mortgage lending is falling drastically. Net mortgage lending in September was just £1.6bn, which is the lowest figure since October 2000.

The truth is that banks are more than happy not to lend as they try and repair their balance sheets. Lenders are therefore implementing rigorous lending criteria and underwriting. Some of these measures are relevant attempts to avoid fraudulent/bad loans but many are ill thought out and are impacting every potential home buyer requiring lending.

Not only does the lack of lending mean there are fewer housing transactions taking place it also means that the fall through rate is increasing.

The problem is that property sales are often agreed on the basis of a mortgage having been agreed in principle (AIP). In the current market this AIP provides very little security that the borrower is likely to secure lending. Once a deal has been agreed the formal mortgage offer is then requested. In many cases the mortgage offer will never materialise because the borrower doesn’t fit the tighter underwriting criteria or their circumstances mean they cannot access the better value deals and so cannot afford the purchase agreed at the outset.

The current lending climate means that we are likely to see both low volumes of house sales and increasing numbers of house sales falling aborting.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

What is the Quick Move FTI?

Not all property sales that are agreed go on to complete and the percentage of sales falling through varies greatly with prevailing market conditions.

When a chain collapses sellers can face a number of issues:
-Large delay in selling as whole marketing/sale process is restarted.
-Lose onward purchase.
-Remain exposed to changing market conditions.
-Lose out financially with costs sunk into solicitors, estate agents, home information packs, survey and mortgage fees often exceeding £2000.

Quick Move agreed over 500 sales last year but like any seller we have trouble with chains and sales falling through. This is despite a dedicated sales progression team and detailed assessment of every buyer, their finances and related chain. The average home seller doesn’t qualify buyers to the same degree, so the general market fall through rate is much higher.

The Quick Move FTI is a 6 month moving average measuring the percentage of agreed sales that fall through.
The index is uniquely placed to give a current indication of how market conditions are affecting general home owners looking to sell their property.

Quickmovenow.com specialises in the rapid cash purchase of residential property. And our professional and competitive service provides clients with a quick, secure and efficient sale.
We assist clients in a range of circumstances but if your specifically want the certainty of selling without the complications of a chain or have been involved in a broken chain and want to secure your onward purchase-Quickmovenow.com could help.
If you want more information please complete a free online estimate or contact us direct on 0800 068 3366.

Quick Move FTI Falls to 23%

2010-09-28T14:22:00.003+01:00

The aborted sale rate has fallen to the lowest level since late 2006.

We continue to see improvements in rate of aborted sales although at least 1 in 4 property deals is still aborting before completion.

So why are we seeing such an improvement when the market is very subdued and prices are falling across most of the country?

The main reason seems to be that the number of sales is very low. In August we saw mortgage lending drop to lowest level since 2000. This shocking figure really illustrates how few property sales are actually happening.

At these low volumes, most sales are to well financed, confident buyers who have found the property they want. This means that the chances of fall through are much lower than would be the case in a healthy housing market.

Although fall through’s are falling the chances of actually finding a buyer in the first place are much more remote, and this is the real battle for home sellers currently.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales Fall

2010-07-16T14:08:00.002+01:00

Quick Move FTI* falls to 28%

The aborted sale rate has fallen to the lowest level since early 2007.

We have now seen a consistent improvement in the fall through index over several months although we would expect that in reality , in the non-professional market, at least 1 in 3 property deals is still aborting before completion.

To understand the driving force behind this trend we need to understand what is happening in the wider property market.

During 2008/9 we saw rapidly falling house prices, low buyer confidence and huge uncertainty in the mortgage market all of which lead to a high number of aborted sales.

Over the last 6 months we have seen buyer confidence and mortgage finance increase. At the same time the volume of property on the market has not increased to match the higher demand. With the increased competition, home buyers have tried really hard to keep chains together as the options for alternative purchases are limited. Therefore we have seen the level of aborted sales fall.

This basic explanation does however hide huge regional variation. Improving house prices and sales volumes are being driven by London and the South East in much of the rest of the country sales volumes remain extremely low with prices remaining static or falling.

So what does the future hold, well we are expecting the housing market to have a very difficult second half of the year.

All the major indicators are showing signs of another slowdown. House prices increases have either stalled or reversed, asking prices have fallen and transaction levels are falling.

The new coalition has also scrapped HIP’s which means that the costs/barrier to putting your property on the market has been removed. We expect the number of people “testing” the market to increase so increasing supply.

If supply increases and demand falls or remains subdued, logic would suggest prices will fall and uncertainty will increase.

We are also just entering the summer holiday period where traditionally the housing market takes a breather. So the big question is what will happen in September and with all the looming public sector redundancies causing massive uncertainty we could well see another slump in the housing market, which could well lead to higher levels of aborted house sales.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

What is the Quick Move FTI?

Not all property sales that are agreed go on to complete and the percentage of sales falling through varies greatly with prevailing market conditions.

When a chain collapses sellers can face a number of issues:
-Large delay in selling as whole marketing/sale process is restarted.
-Lose onward purchase.
-Remain exposed to changing market conditions.
-Lose out financially with costs sunk into solicitors, estate agents, home information packs, survey and mortgage fees often exceeding £2000.

Quick Move agreed over 500 sales last year but like any seller we have trouble with chains and sales falling through. This is despite a dedicated sales progression team and detailed assessment of every buyer, their finances and related chain. The average home seller doesn’t qualify buyers to the same degree, so the general market fall through rate is much higher.

The Quick Move FTI is a 6 month moving average measuring the percentage of agreed sales that fall through.
The index is uniquely placed to give a current indication of how market conditions are affecting general home owners looking to sell their property.

Quickmovenow.com specialises in the rapid cash purchase of residential property. And our professional and competitive service provides clients with a quick, secure and efficient sale.

We assist clients in a range of circumstances but if your specifically want the certainty of selling without the complications of a chain or have been involved in a broken chain and want to secure your onward purchase-Quickmovenow.com could help.
If you want more information please complete a free online estimate or contact us direct on 0800 068 3366.

Quick Move FTI Falls To 34%

2010-05-20T15:45:00.003+01:00

Quick Move FTI* falls to 34%

The aborted sale rate has been running at over 35% for the last 4 months so a fall should offer some respite to home buyers and sellers.

Unfortunately we think that a very low fall through rate in April may have dragged down the index average, but we shall have to wait and see.

Obviously it would be good news for the whole housing market if the house sale abort rate continues to fall. Most home sellers do not appreciate the huge impact an aborted sale can have on a chain. Each homeowner will have invested considerable cash, time and emotion in the sale and most of this cannot be recovered even if the property is re-sold.

Unfortunately 2010 is going to be a difficult year for the housing market and we believe house prices, house sale volumes and the fall though rate will all continue to fluctuate as the wider economy stutters along.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

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2010-04-27T16:54:00.001+01:00

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Over 37% of Sales Aborting

2010-04-08T09:47:00.000+01:00

Quick Move FTI* stays at over 37% during March.

The improvement in the aborted sale rate witnessed during the first half of 2009 now seems a distant memory.

We have seen the number of sales falling through steadily increase over several months so that we are now experiencing levels well above long-term average.

The cause of many of these aborted sales is uncertainty. House buyers and sellers are unsure whether house prices are rising or falling, they are also concerned about looming public and private sector redundancies. The banks and mortgage lenders are still concerned about over exposure to the property market and are withdrawing or refusing mortgages to many home buyers.

With a looming general election and the prospect of huge government cost cutting and tax rises, the near future is likely to get even more uncertain.

When life is uncertain homes buyers will become more nervous about making huge commitments such as buying a home. As always house sales in the UK nearly always involve a chain a dependent sales. If just one sale falls through, the rest of the chain collapses!

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through for normal house buyers and sellers is likely to be much higher.

Aborted Sales at 36%

2010-02-25T11:36:00.001Z

Quick Move FTI* dipped slightly to 36% in January.

The New Year has done nothing to improve the volume of aborted sales.

The Stamp Duty holiday came to an end in December and it seems that a significant number of buyers forced through their purchase before the change. We had expected a corresponding reduction in the FTI as the incentive to keep chains together was increased, however this didn’t materialise.

With more than one in three sales aborting before completion the situation remains very uncertain for buyers and sellers. For those who need to sell and those who want to buy their dream house an aborted sale could have serious repercussions.

So what does the rest of the year hold for broken sale chains?

Well we expect the fall through rate to remain high for the foreseeable future.

Mortgage finance still remains difficult secure and as banks remain risk adverse many people who make offers will be unable to secure an actual mortgage offer.

Last year we saw a lot of cash buyers of property. As house sale volumes increase this year we will see more house sale dependent buyers in the market. The resulting sale chains vastly increase the chances of a failed house sale as if just one link breaks the whole chain collapses.

If you want to avoid the uncertainty of the market and sell your house quickly Quick Move Now can help, follow the link to learn more about our service.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through on the open market is unfortunately much higher.

Aborted Sales at 37%

2010-01-26T16:52:00.002Z

Quick Move FTI* rose to 37% this month.

What a year 2009 turned out to be. We have seen the property market flip from suicidal to wildly optimistic and everything in between.

There can be no argument that the market has proved very difficult and confusing for buyers and sellers alike.

In December the fall through rate rose to 37%. This means we have seen a steady increase the sale abort rate since the year low of 29% in June.

We have seen that there are house buyers with secure finance and large cash deposits who are still able to buy. These buyers have been chasing a tiny pool of properties on the market as most homeowners have weathered the storm and removed their homes from the market. This demand and constrained supply were at there most extreme in June which was reflected in a low number of aborted sales.

Since June we have seen “normal” home buyers gradually enter the market, these buyers have often made offers only to find that mortgage finance is not available. The volume of property available has also increased as market perceptions have changed, which has increased choice for home buyers and made them more likely to “swap” purchases. Both these factors have led to a gradual increase in the fall through rate.

An average of 32% of sales aborted during 2009 and with prevailing conditions we would expect the aborted sale rate remaining above this level well into 2010.

If you want to avoid the uncertainty of the market and sell your house quickly Quick Move Now can help, follow the link to learn more about our service.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through on the open market is unfortunately much higher.

Aborted Sales Over 34%

2009-11-20T09:44:00.001Z

Quick Move FTI* rose to over 34% this month.

The UK housing market remains a confused and difficult environment. The market conditions are unusual, unsustainable and we are seeing massive regional differences.

Despite apparently good news coming from the housing market we are seeing continued increases in the number of aborted sales. Unfortunately all the news is based on average, national statistics which mask the realities for individual buyer and sellers. Most of the improvement in statistics has been driven by sales in London and South East, the picture unfortunately is much bleaker for people in other parts of the country.

Early this year only serious buyers with secure finance were buying property. Due to the torrent of “good” news stories over the last few months we have seen more “normal” buyers returning to the marketplace. Many of these buyers are not as confident and may not be able to get secure, affordable mortgage lending which has in part led to more sales aborting.

This situation is only likely to get worse as more buyers and stock enters the market. We would expect the rate of aborted sales to rise again in the New Year.

If you want to avoid the difficult market conditions and sell your house quickly Quick Move Now can help, follow the link to learn more about our service.

*This figure is based on house sales that are professionally qualified and managed and the true rate of fall through on the open market is unfortunately much higher.

Aborted Sales Climb to 33%

2009-11-12T14:21:00.001Z

Quick Move FTI* continues to increase as we witness more sales aborting before completion.

Despite many headlines about rising prices the housing market remains a very uncertain place with huge market variation between areas. This means most people are still finding selling their home an uncertain and time consuming process.

One of the impacts of the current market is that we are seeing more sales falling through leading to frustration for both house buyers and sellers.

We are seeing normal home buyers being attracted back to the market. The majority of these house buyers also need to sell a house and don’t have the large deposits. These buyers are more likely to have difficulties securing a mortgage and may also have a complicated sales chain. This increases the chances of at least one link in the sales chain breaking and is leading to over 1 in 3 sales falling through.

Another driver of aborted sales, especially in sort after areas, is that house sellers are increasingly swapping buyers after the sale is agreed, for higher offers. The undersupply of property is causing competition, rising prices and therefore aborted sales. This phenomenon is extremely area specific and most homeowners are unfortunately not as lucky and are continuing to experience very difficult market conditions.

If you want to avoid the difficult market conditions and sell your house quickly Quick Move Now can help, follow the link to learn more about the benefits are service can offer you.

*This figure is based on property sales that are professionally qualified and managed and the true rate of fall through on the open market is unfortunately much higher.

Aborted Sales at 30% For August

2009-09-28T10:22:00.002+01:00

The Quick Move FTI* has increased to 31% of sales falling through.

The last few months has seen activity returning to the housing market as we have witnessed serious, cash rich house buyers stepping in to buy discounted houses. These home buyers often don’t have to rely on selling another house and are therefore less likely to pull out of the sale.

However this month we have seen the volume of aborted house sales rise over the 30% level.

We believe this is because normal buyers are stepping back into the market, who are neither cash rich or experienced investors. Mortgage lending is still massively constrained and any buyer with a small deposit or slightly dubious history is struggling to get finance. We have seen a corresponding increase in aborted sales as potential buyers fail to secure a mortgage offer.

*This figure is based on property sales that are professionally qualified and managed and the true rate of fall through on the open market is unfortunately much higher

Aborted Sales at 30% For July

2009-09-25T16:07:00.002+01:00