Many vendors in London are now reducing the asking price of their homes by tens of thousands of pounds as the housing market continues to stall, according to new research by HouseSimple.com.

More than a third (35.3%) of homes on the market in the capital have so far this month undergone a price reduction, fresh data from the online estate agent shows.

Almost of half – 45.8% – of properties in the London Borough of Richmond upon Thames, in south-west London, have seen prices cut – more than any other borough.

The data, which is based on Zoopla price reduction statistics for all 32 London boroughs, show that Newham recorded the lowest proportion of price reductions, at 25.7%.

HouseSimple.com chief executive Alex Gosling commented: “These figures only support the view that the London property market has run out of steam.

“Agents are dropping prices to persuade cautious buyers to purchase in an economic climate where it’s difficult to predict what’s going to happen next.

“What’s unusual about the level of discounted properties is that it would suggest there are too many sellers and not enough buyers. But strangely this market is still suffering from a lack of new supply.

“There are actually plenty of buyers looking, but they’re a different buyer from 12 months ago. They are more cautious and viewing multiple properties before making a decision.”