Lots of unsold property is on the market

A backlog of unsold property is waiting on the market, an expert said this week.

Paul Holmes is chief executive officer of Firstrung and said there is not yet a "panic to sell" because interest rates are relatively low.

However, he said there are likely to be more price falls in the forthcoming months.

And the only sales happening in large numbers are those of properties worth £50,000 and under.

Sales are approximately a third of the amount they were at the peak of the market, Mr Holmes explained.

He added: "There is a discrepancy of 30 per cent between what people price their property at and what they have to accept."

And until vendors are able to get real valuation – rather than those distorted by other sales in the market – nothing will change.

His comments follow the publication of the Rightmove House Price index, which said the average asking price has now gone up by 0.6 per cent.

Those looking to improve rather than move during the current economic climate might want to consider additions such as conservatories or roof conversions.