Why Is Summer Often A Quieter Period For Estate Agents?

This summer has been a study in contrasts for estate agents, with one of the strongest sets of summer months in recent memory still netting a slight drop in house prices.

According to the Nationwide House Price Index, average house prices fell by just under £1000 between July and August 2024, but this -0.2 per cent monthly change still reflects the fastest annual growth rate since the fallout of the infamous September 2022 mini-budget.

The events of late September 2022 led to a dramatic weakening in the housing market, with 40 per cent of mortgage products disappearing from the market within days, so, notably, the market has finally recovered just under two years later.

However, this tiny drop is a remarkably strong performance given that a summer slump is a common part of the seasonal nature of the property market, but why is this the case?

The simple answer is that both buyers and sellers are not thinking of moving during the summer. Many people are on holiday, schools are out for summer and there are all manner of seasonal events for people to focus on instead.

This year, in particular, was a big summer for sport, with England’s notable run to the Euro 2024 finals, a successful Paris Olympic Games and Paralympics, Wimbledon and the British Grand Prix all vied for people’s attention, alongside music festivals and a General Election.

The effects of a General Election on sales cannot be discounted either, as house prices can be affected by housing policy, meaning that some buyers might choose to wait and see what the 

property landscape is first before jumping in with house sales.

Another part is less national; people going on holidays and enjoying time with their friends, family and loved ones can distract from the market, much like it can in the run-up to Christmas.