Essential Auction News

David Sandeman, Managing Director Welcome to the March newsletter. This edition reports on the auction activity in February 2009.

The key factor has been the increase in the overall sale rate to 74%. This is the highest it has been for exactly 2 years (February 2007 was 78%). In February 2007 4,412 lots were offered, and a total of �821,576,742 raised, nearly 250% more than February 2009.

There is no reason why this sales level cannot be sustained in this market so long as vendors are realistic about their expectations, and continue to use auctions as a viable means to sell property in this market.

Kind regards

David Sandeman
Managing Director
davids@eigroup.co.uk

National Auction Analysis

February is always the first month of the year that has a full set of auctions. You will see from the numbers below that the percentage sold for February 2008 was also 74%, but this includes 110 lots that sold post and were not included in the March 2008 newsletter that reported a sales rate of 71% for February 2008. There was a decline in the number of lots offered across both sectors of the market for the month on month totals.

The quarterly and yearly comparisons show a less marked drop in lots offered, pointing to a stabilisation in the fall in lots coming to auction. However the fall in amount raised in the three periods, month, quarterly and yearly, continues to show drops of 43.1%, 39.8% and 37.1% respectively. There are three main reasons for this: declining values in the property market, smaller lots being offered, less commercial lots being offered which tend to have a higher lot value than residential lots, and a decline in the percentage sold rate.

Total

  Last Month Last Quarter Last Year
February 2009 February 2008 Increase December 2008 - February 2009 December 2007 - February 2008 Increase March 2008 - February 2009 March 2007 - February 2008 Increase
Lots Offered 3,159 3,982 -20.7% 7,157 8,203 -12.8% 37,121 37,760 -1.7%
Lots Sold 2,342 2,932 -20.1% 5,139 5,791 -11.3% 24,031 26,800 -10.3%
Percent Sold 74% 74% 0.7% 72% 71% 1.7% 65% 71% -8.8%
Total Raised £335,449,335 £584,763,071 -42.6% £705,864,995 £1,167,468,259 -39.5% £3,590,453,600 £5,704,301,524 -37.1%

Residential

  Last Month Last Quarter Last Year
February 2009 February 2008 Increase December 2008 - February 2009 December 2007 - February 2008 Increase March 2008 - February 2009 March 2007 - February 2008 Increase
Lots Offered 2,588 3,055 -15.3% 6,021 6,518 -7.6% 30,786 30,332 1.5%
Lots Sold 1,925 2,180 -11.7% 4,345 4,484 -3.1% 19,720 21,108 -6.6%
Percent Sold 74% 71% 4.2% 72% 69% 4.9% 64% 70% -8.0%
Total Raised £235,372,675 £371,367,402 -36.6% £516,960,275 £710,911,495 -27.3% £2,515,462,567 £3,585,306,938 -29.8%

Commercial

  Last Month Last Quarter Last Year
February 2009 February 2008 Increase December 2008 - February 2009 December 2007 - February 2008 Increase March 2008 - February 2009 March 2007 - February 2008 Increase
Lots Offered 571 927 -38.4% 1,136 1,685 -32.6% 6,335 7,388 -14.3%
Lots Sold 417 752 -44.5% 794 1,307 -39.3% 4,311 5,663 -23.9%
Percent Sold 73% 81% -10.0% 70% 78% -9.9% 68% 77% -11.2%
Total Raised £100,076,660 £213,395,669 -53.1% £188,904,720 £456,556,764 -58.6% £1,074,991,033 £2,084,974,586 -48.4%

Regional Auction Analysis

For the first time in a long while all sectors of all regions had percentage sold rates in excess of 60%, with almost 80% of all London based stock selling. The difference between the regions is also less marked than in the past showing a greater uniformity across the UK.

East Anglia

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 184 210 -12.4%
Lots Sold 123 171 -28.1%
Percent Sold 66.8% 81.4% -17.9%
Total Raised £16,813,850 £36,768,250 -54.3%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 149 139 7.2%
Lots Sold 101 105 -3.8%
Percent Sold 67.8% 75.5% -10.3%
Total Raised £11,522,600 £21,432,250 -46.2%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 35 71 -50.7%
Lots Sold 22 66 -66.7%
Percent Sold 62.9% 93.0% -32.4%
Total Raised £5,291,250 £15,336,000 -65.5%

East Midlands

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 526 621 -15.3%
Lots Sold 397 459 -13.5%
Percent Sold 75.5% 73.9% 2.1%
Total Raised £40,268,450 £63,714,910 -36.8%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 455 521 -12.7%
Lots Sold 346 375 -7.7%
Percent Sold 76.0% 72.0% 5.7%
Total Raised £26,604,450 £40,066,000 -33.6%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 71 100 -29.0%
Lots Sold 51 84 -39.3%
Percent Sold 71.8% 84.0% -14.5%
Total Raised £13,664,000 £23,648,910 -42.2%

London

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 1004 930 8.0%
Lots Sold 800 733 9.1%
Percent Sold 79.7% 78.8% 1.1%
Total Raised £201,006,900 £294,198,350 -31.7%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 902 817 10.4%
Lots Sold 724 634 14.2%
Percent Sold 80.3% 77.6% 3.4%
Total Raised £162,178,400 £207,522,850 -21.9%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 102 113 -9.7%
Lots Sold 76 99 -23.2%
Percent Sold 74.5% 87.6% -15.0%
Total Raised £38,828,500 £86,675,500 -55.2%

North-East

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 564 538 4.8%
Lots Sold 366 351 4.3%
Percent Sold 64.9% 65.2% -0.5%
Total Raised £34,726,710 £47,605,188 -27.1%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 532 473 12.5%
Lots Sold 344 304 13.2%
Percent Sold 64.7% 64.3% 0.6%
Total Raised £31,536,450 £32,674,193 -3.5%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 32 65 -50.8%
Lots Sold 22 47 -53.2%
Percent Sold 68.8% 72.3% -4.9%
Total Raised £3,190,260 £14,930,995 -78.6%

North-West

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 1297 1426 -9.0%
Lots Sold 857 901 -4.9%
Percent Sold 66.1% 63.2% 4.6%
Total Raised £79,858,725 £120,847,000 -33.9%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 1058 1116 -5.2%
Lots Sold 696 689 1.0%
Percent Sold 65.8% 61.7% 6.6%
Total Raised £53,594,425 £68,702,550 -22.0%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 239 310 -22.9%
Lots Sold 161 212 -24.1%
Percent Sold 67.4% 68.4% -1.5%
Total Raised £26,264,300 £52,144,450 -49.6%

North-West Home Counties

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 352 430 -18.1%
Lots Sold 266 305 -12.8%
Percent Sold 75.6% 70.9% 6.5%
Total Raised £54,053,950 £88,811,951 -39.1%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 289 344 -16.0%
Lots Sold 217 240 -9.6%
Percent Sold 75.1% 69.8% 7.6%
Total Raised £34,704,700 £51,702,451 -32.9%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 63 86 -26.7%
Lots Sold 49 65 -24.6%
Percent Sold 77.8% 75.6% 2.9%
Total Raised £19,349,250 £37,109,500 -47.9%

Scotland

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 106 183 -42.1%
Lots Sold 74 151 -51.0%
Percent Sold 69.8% 82.5% -15.4%
Total Raised £5,777,450 £27,065,410 -78.7%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 57 90 -36.7%
Lots Sold 39 67 -41.8%
Percent Sold 68.4% 74.4% -8.1%
Total Raised £3,301,100 £5,049,650 -34.6%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 49 93 -47.3%
Lots Sold 35 84 -58.3%
Percent Sold 71.4% 90.3% -20.9%
Total Raised £2,476,350 £22,015,760 -88.8%

South-East Home Counties

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 960 1142 -15.9%
Lots Sold 722 850 -15.1%
Percent Sold 75.2% 74.4% 1.0%
Total Raised £109,109,510 £194,826,550 -44.0%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 750 903 -16.9%
Lots Sold 577 661 -12.7%
Percent Sold 76.9% 73.2% 5.1%
Total Raised £76,223,650 £112,467,551 -32.2%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 210 239 -12.1%
Lots Sold 145 189 -23.3%
Percent Sold 69.0% 79.1% -12.7%
Total Raised £32,885,860 £82,358,999 -60.1%

South-West

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 399 503 -20.7%
Lots Sold 299 338 -11.5%
Percent Sold 74.9% 67.2% 11.5%
Total Raised £42,587,100 £70,220,800 -39.4%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 317 373 -15.0%
Lots Sold 240 227 5.7%
Percent Sold 75.7% 60.9% 24.4%
Total Raised £30,612,850 £36,510,300 -16.2%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 82 130 -36.9%
Lots Sold 59 111 -46.8%
Percent Sold 72.0% 85.4% -15.7%
Total Raised £11,974,250 £33,710,500 -64.5%

Wales

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 476 524 -9.2%
Lots Sold 350 361 -3.0%
Percent Sold 73.5% 68.9% 6.7%
Total Raised £27,859,100 £43,633,100 -36.2%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 392 420 -6.7%
Lots Sold 295 289 2.1%
Percent Sold 75.3% 68.8% 9.4%
Total Raised £23,292,250 £25,697,100 -9.4%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 84 104 -19.2%
Lots Sold 55 72 -23.6%
Percent Sold 65.5% 69.2% -5.4%
Total Raised £4,566,850 £17,936,000 -74.5%

West Midlands

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 598 963 -37.9%
Lots Sold 400 654 -38.8%
Percent Sold 66.9% 67.9% -1.5%
Total Raised £40,641,950 £105,501,350 -61.5%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 515 762 -32.4%
Lots Sold 341 503 -32.2%
Percent Sold 66.2% 66.0% 0.3%
Total Raised £28,431,450 £65,880,600 -56.8%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 83 201 -58.7%
Lots Sold 59 151 -60.9%
Percent Sold 71.1% 75.1% -5.4%
Total Raised £12,210,500 £39,620,750 -69.2%

Yorkshire and The Humber

Total
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 683 726 -5.9%
Lots Sold 481 513 -6.2%
Percent Sold 70.4% 70.7% -0.3%
Total Raised £52,710,300 £73,818,400 -28.6%
Residential
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 597 553 8.0%
Lots Sold 421 386 9.1%
Percent Sold 70.5% 69.8% 1.0%
Total Raised £34,506,950 £42,749,000 -19.3%
Commercial
December 2008 - February 2009 December 2007 - February 2008 Increase
Lots Offered 86 173 -50.3%
Lots Sold 60 127 -52.8%
Percent Sold 69.8% 73.4% -5.0%
Total Raised £18,203,350 £31,069,400 -41.4%


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