A recent market analysis by Benham and Reeves has unveiled that a significant portion of homes in London currently listed for sale, around one-third, have experienced a reduction in their asking prices.

In the prestigious borough of Kensington and Chelsea, a striking 40.3% of properties on the market have seen their prices trimmed since first being listed.

Outside of central London’s prime areas, Southwark leads the way with the highest percentage of price-reduced properties, where 37.2% have faced cuts in their asking prices since hitting the market.

Similarly, in Tower Hamlets, 37.1% of homes listed have seen a reduction in their asking prices, closely followed by Croydon, where the figure stands at 36.9%.

Other boroughs exhibiting higher-than-average levels of price adjustments include Westminster (36.9%), Hammersmith and Fulham (36.7%), Brent (36%), Lambeth (35.8%), Hillingdon (35.8%), Richmond (35.7%), Harrow (34.9%), Kingston (34.8%), Hounslow (34.7%), Camden (34.4%), and Bromley (34.2%).

Marc von Grundherr, director of Benham and Reeves, provided insight into this trend, stating: “Home sellers across the nation have had to readjust their asking price expectations in recent months, as higher mortgage rates have stifled the purchasing power of buyers and prevented them from offering the high market prices that we saw materialise following the pandemic market boom.

“Of course, not all sellers have been prepared to meet in the middle and have continued to market their properties at a higher price than current conditions dictate.

“Therefore, we’re seeing a good chunk of homes reach the market, before reducing in price in order to tempt buyers.

“Whilst this presents a great opportunity for a discounted purchase, buyers are advised to act quickly.

“With the property market showing notable signs of improvement so far this year, and with the prospect of an interest rate cut on the horizon, we expect market momentum to swing back towards sellers before the year is out.”