Industry News

EIG April 2017 Newsletter - Essential Auction News  

Publish Date: 13 April 2017

By Beth Fox

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EIG April 2017 Newsletter - Essential Auction News  

Further reading

EIG March 2017 Newsletter - Essential Auction News

EIG team up with specialist auction finance provider Together

Welcome to the April newsletter that looks back at auction activity in March and preceding periods. 

Overall lots offered was down 6.5% last month, from 2,962 lots to 2,769 lots, whilst lots sold fell by 5.7%, from 2,188 lots to 2,064 lots. The total raised at auction fell by £32M to £402M, down 7.3% from £434M raised in March 2016.

As highlighted last month, the recent falls could be largely attributed to the unprecedented spikes we saw in February and to a lesser extent in March last year, when an influx of buyers and sellers rushed to beat the impending stamp duty hikes.

We may also be witnessing a market which is just easing back the throttle a little. It wouldn't be unsurprsing either, considering that the Government has recently introduced measures to try and cool the buy-to-let market whilst house price inflation has also seemingly slowed. Encouraging though, despite the drop-off in numbers we are still seeing an average sale rate of around 75% which shows sale rooms remain competitive with buyers aplenty.

Overall Statistics March 2017

Auctions Held in the UK             127
Total Lots Offered                  2,769
Total Lots Sold                       2,064
Percent Sold                          74.5%
Total Realised           £402,196,601

National Auction Analysis

The residential sector saw instructions fall by 9.3% last month, down 229 lots to 2,228, whilst sales dropped by almost 8% to 1,646 lots. Figures for Q1 show double-digit falls in lots offered, sold and amount raised, but as mentioned above it should not be cause for alarm as it is almost entirely due to the record-breaking activity seen in Q1 2016 prior to the stamp duty changes.

Commercial lots offered increased by 7% in March, to 541 lots (up from 505 in March 2016), whilst sales grew by almost 5% to 418 lots sold. However, the amount realised from commercial property sales decreased by 14% (down £23M), indicating a rise in smaller lot sizes.

A word from the editor: I welcome any feedback or questions you may have about our newsletters or the wider market in general.

Kind regards,

David Sandeman

 

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