More than one in two homes for sale saw its asking price reduced, the boss of a big estate agency has revealed.

Speaking after the release of the recent Nationwide house price index, LRG’s chief executive Michael Cook told Radio 4 that asking prices needed to be cut if the properties were going to sell.

He said: “A housing market is dictated by few things, affordability but also sentiment in the last month, which has softened due to the war in Rian.

“There was also a change in Government, although we’ve had more clarity around Stamp Duty.”

Prices cut

Cook added: “Things improved in May and started to edge up in June. In July, it feels like it has softened a bit.

“We probably had to cut 55% of our available properties on the market.

“Some price indicators will give you a lag as to what is really happening in the market. More properties are having to be reduced in price to sell at the moment.”

More properties are having to be reduced in price to sell at the moment.”

It follows Nationwide revealing that house price growth slowed in July as people avoided moving home amid high mortgage rates and concerns about future tax hikes.

The Nationwide Building Society figures showed that the average price of a home in Britain currently stands at £277,542, up 1.8% on a year ago.

Annual growth slowed compared to June, when property values increased 2.2%.

Nationwide attribute the slowdown in growth on an uncertain economic outlook.

It comes after the Bank of England rate-setters opted to hold interest rates at 3.75% for a fifth time in a row – despite three of the nine members of the Bank’s Monetary Policy Committee coting for a hike.