Great time to sell at auction in 2016?

publication date: Feb 2, 2016
 | 
author/source: Kate Faulkner, Property Expert and Author of Which? Property Books

During December there were 114 property auctions across the country down from 134 from the previous year. Despite the overall number of lots sold dropping by 4% the amount of money raised from sales at auction rose by 4% in December 2015 vs 2014 to more than £511 million – the first time it has been above £500m since 2006. December's numbers are a fair reflection of how the market performed throughout 2015.

The overall auction figures for December 2015 are worth noting but what we are really interested in are the residential property auction figures for the last quarter and year on year.

The residential auction figures reflect an issue permeating throughout the property market, namely a lack of stock. During Q4 2015 7,246 lots were offered at auction versus 7,499 in Q4 2014 and throughout 2014 28,525 lots were offered down to 26,866 in 2015.

Although this may be bad news for buyers and investors looking to snaffle a bargain at auction sellers are actually having a great time as a result!. As there were fewer lots being offered in Q4 2015 vs 2014 EI Group found a far greater number of properties were sold (5,554 vs 5,538) this equates to 76.6% of properties offered at auction being sold versus 73.8%.

For more information on buying property auction read our checklist from EI Group:- 
Buying at Auction

It appears then that those wishing to sell at auction are in a strong position with stock becoming more scarce without demand falling. This is a trend reflected across the various UK regions:-

  1. 11 of 13 regions analysed saw a greater percentage of residential auction properties sold in Q4 2015 vs Q4 2014.
  2. The greatest jump was in Scotland which saw 60.6% of properties sold in this period up from 50% in 2014.
  3. The two regions which saw falls in the percentage of sales at auction were London and Northern Ireland

For more information on buying property auction read our checklist from EI Group:- 
Buying at Auction

Residential Auction Figures – UK 

 

Last Quarter

Last Year

 

Oct - Dec 15

Oct - Dec 14

Increase

Jan – Dec 15

Jan – Dec 14

Increase

Lots Offered

7246

7499

-3.40%

26866

28525

-5.80%

Lots Sold

5554

5538

0.30%

20845

21834

-4.50%

Percent Sold

76.60%

73.80%

3.80%

77.60%

76.50%

1.40%

Total Raised

£893,417,820.00

£813,246,537.0

9.90%

£3,162,530,538

£3,058,368,935.00

3.4%

Regional Analysis* 

*Regions are ranked highest to lowest on % sold basis

Region:

Oct – Dec 15 (% Sold)

Oct – Dec 14 (% Sold)

Increase in % sold YoY

N-W Home Counties

83.00%

76.30%

8.80%

East Anglia

82.30%

78.20%

5.20%

S-E Home Counties

81.50%

79.90%

2.00%

West Midlands

80.90%

76.70%

5.50%

Yorkshire & Humber

78.40%

73.00%

7.40%

London

77.50%

78.10%

-0.80%

Wales

77.40%

76.30%

1.40%

East Midlands

77.00%

72.70%

5.90%

South West

76.20%

71.20%

7.00%

North East

73.60%

71.50%

2.90%

North West

72.60%

72.20%

0.60%

Northern Ireland

67.60%

71.40%

-5.30%

Scotland

60.60%

50.00%

21.20%

 

 

 

 

 

 


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Which? Property books and one of the UK's top property experts.
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