Essential Information Group

July 2018 Newsletter

EIG monthly Newsletter

Essential Auction News

Welcome to the July newsletter that looks back at auction activity in June and preceding periods. As can be seen below, the market experienced a notably challenging month, with overall lots offered down 19.5% to 2,144 lots and lots sold down 23.1% to 1,498 lots. Auction revenues dropped 24%, from £267M in June 2017 to £203M in June 2018.

Whilst the numbers are certainly alarming they are perhaps reflective of the challenging market conditions and economic backdrop that we find ourselves in. Growing speculation of an impending interest rate rise, Brexit uncertainty and ongoing high-street woes are all factors that are likely affecting confidence amongst buyers and sellers alike.

Recent reports suggest that it isn't just the auction market feeling the strain, however, with news of decreasing numbers of private treaty buyers causing a slowdown in sales and putting downward pressure on prices. In fact the only reliable forecast one can make at this time is that of the weather, which I'm pleased to say looks set fair for the foreseeable future!

As ever I welcome any feedback you may have regarding the newsletters or indeed the wider market in general.

Please note the newsletter can also be viewed online.

Overall Statistics June 2018
Auctions Held in the UK 100
Total Lots Offered 2,144
Total Lots Sold 1,498
Percent Sold 69.9%
Total Realised £203,247,444

National Auction Analysis

The whole market endured a difficult June, with double-digit falls seen in lots offered, lots sold and amount raised across both sectors. Notably just 1,281 residential lots sold with a total value of £177M - both down 24% on the respective metrics last year, whilst commercial sales dropped 17.5% to 217 lots, raising in excess of £26M (down 21.2% on June 2017).

Overall

N.B. Figures in brackets denote the comparative period last year

June 2018 April 2018 to June 2018 July 2017 to June 2018
Lots Offered 2,144 (2,663) 19.5% 7,608 (8,122) 6.3% 33,020 (33,586) 1.7%
Lots Sold 1,498 (1,947) 23.1% 5,596 (6,177) 9.4% 25,119 (25,583) 1.8%
Percent Sold 69.9% (73.1%) 4.4% 73.6% (76.1%) 3.3% 76.1% (76.2%) 0.1%
Total Raised £203M (£267M) 23.8% £943M (£1,050M) 10.2% £4,520M (£4,553M) 0.7%

Residential

N.B. Figures in brackets denote the comparative period last year

June 2018 April 2018 to June 2018 July 2017 to June 2018
Lots Offered 1,831 (2,317) 21.0% 6,400 (6,806) 6.0% 27,622 (27,775) 0.6%
Lots Sold 1,281 (1,684) 23.9% 4,679 (5,172) 9.5% 20,890 (21,011) 0.6%
Percent Sold 70.0% (72.7%) 3.7% 73.1% (76.0%) 3.8% 75.6% (75.6%) 0.0%
Total Raised £177M (£234M) 24.2% £717M (£779M) 8.0% £3,175M (£3,176M) 0.0%

Commercial

N.B. Figures in brackets denote the comparative period last year

June 2018 April 2018 to June 2018 July 2017 to June 2018
Lots Offered 313 (346) 9.5% 1,208 (1,316) 8.2% 5,398 (5,811) 7.1%
Lots Sold 217 (263) 17.5% 917 (1,005) 8.8% 4,229 (4,572) 7.5%
Percent Sold 69.3% (76.0%) 8.8% 75.9% (76.4%) 0.7% 78.3% (78.7%) 0.5%
Total Raised £26M (£33M) 21.2% £227M (£271M) 16.5% £1,345M (£1,377M) 2.4%

Regional Auction Analysis

As is usually the case, variations across all the measurable parameters can be seen across the regions.

N.B. Figures in brackets denote the comparative period last year

East-AngliaEast Anglia

April 2018 to June 2018 Total Residential Commercial
Lots Offered 295 (251) 17.5% 254 (199) 27.6% 41 (52) 21.2%
Lots Sold 220 (219) 0.5% 185 (170) 8.8% 35 (49) 28.6%
Percent Sold 74.6% (87.3%) 14.5% 72.8% (85.4%) 14.8% 85.4% (94.2%) 9.3%
Total Raised £33M (£38M) 12.6% £28M (£27M) 2.3% £5M (£11M) 50.3%

East-MidlandsEast Midlands

April 2018 to June 2018 Total Residential Commercial
Lots Offered 677 (671) 0.9% 602 (579) 4.0% 75 (92) 18.5%
Lots Sold 525 (519) 1.2% 466 (449) 3.8% 59 (70) 15.7%
Percent Sold 77.5% (77.3%) 0.3% 77.4% (77.5%) 0.1% 78.7% (76.1%) 3.4%
Total Raised £77M (£71M) 7.8% £62M (£53M) 15.4% £15M (£18M) 15.0%

LondonLondon

April 2018 to June 2018 Total Residential Commercial
Lots Offered 504 (618) 18.4% 474 (567) 16.4% 30 (51) 41.2%
Lots Sold 352 (447) 21.3% 325 (405) 19.8% 27 (42) 35.7%
Percent Sold 69.8% (72.3%) 3.5% 68.6% (71.4%) 3.9% 90.0% (82.4%) 9.2%
Total Raised £184M (£206M) 10.7% £154M (£173M) 10.9% £30M (£32M) 9.1%

North-EastNorth-East

April 2018 to June 2018 Total Residential Commercial
Lots Offered 688 (761) 9.6% 641 (708) 9.5% 47 (53) 11.3%
Lots Sold 524 (597) 12.2% 493 (555) 11.2% 31 (42) 26.2%
Percent Sold 76.2% (78.4%) 2.8% 76.9% (78.4%) 1.9% 66.0% (79.2%) 16.7%
Total Raised £40M (£50M) 19.7% £35M (£40M) 14.2% £6M (£10M) 42.3%

North-WestNorth-West

April 2018 to June 2018 Total Residential Commercial
Lots Offered 1,204 (1,152) 4.5% 971 (928) 4.6% 233 (224) 4.0%
Lots Sold 862 (900) 4.2% 687 (732) 6.1% 175 (168) 4.2%
Percent Sold 71.6% (78.1%) 8.3% 70.8% (78.9%) 10.3% 75.1% (75.0%) 0.1%
Total Raised £96M (£105M) 8.5% £67M (£68M) 1.2% £29M (£38M) 21.8%

North-West-Home-CountiesNorth-West Home Counties

April 2018 to June 2018 Total Residential Commercial
Lots Offered 353 (373) 5.4% 293 (322) 9.0% 60 (51) 17.6%
Lots Sold 259 (289) 10.4% 215 (249) 13.7% 44 (40) 10.0%
Percent Sold 73.4% (77.5%) 5.3% 73.4% (77.3%) 5.0% 73.3% (78.4%) 6.5%
Total Raised £65M (£69M) 6.2% £46M (£51M) 9.7% £19M (£18M) 3.7%

Northern-IrelandNorthern Ireland

April 2018 to June 2018 Total Residential Commercial
Lots Offered 187 (290) 35.5% 175 (237) 26.2% 12 (53) 77.4%
Lots Sold 70 (184) 62.0% 68 (148) 54.1% 2 (36) 94.4%
Percent Sold 37.4% (63.4%) 41.0% 38.9% (62.4%) 37.7% 16.7% (67.9%) 75.4%
Total Raised £6M (£27M) 78.6% £6M (£20M) 71.8% £0M (£7M) 98.3%

ScotlandScotland

April 2018 to June 2018 Total Residential Commercial
Lots Offered 246 (212) 16.0% 183 (160) 14.4% 63 (52) 21.2%
Lots Sold 155 (122) 27.0% 112 (85) 31.8% 43 (37) 16.2%
Percent Sold 63.0% (57.5%) 9.6% 61.2% (53.1%) 15.3% 68.3% (71.2%) 4.1%
Total Raised £15M (£13M) 17.6% £7M (£5M) 45.1% £8M (£8M) 1.6%

South-East-Home-CountiesSouth-East Home Counties

April 2018 to June 2018 Total Residential Commercial
Lots Offered 920 (944) 2.5% 780 (785) 0.6% 140 (159) 11.9%
Lots Sold 673 (741) 9.2% 563 (612) 8.0% 110 (129) 14.7%
Percent Sold 73.2% (78.5%) 6.8% 72.2% (78.0%) 7.4% 78.6% (81.1%) 3.1%
Total Raised £162M (£172M) 6.0% £119M (£128M) 6.8% £43M (£44M) 3.5%

South-WestSouth-West

April 2018 to June 2018 Total Residential Commercial
Lots Offered 527 (576) 8.5% 370 (430) 14.0% 157 (146) 7.5%
Lots Sold 412 (425) 3.1% 283 (314) 9.9% 129 (111) 16.2%
Percent Sold 78.2% (73.8%) 6.0% 76.5% (73.0%) 4.8% 82.2% (76.0%) 8.2%
Total Raised £75M (£87M) 13.7% £54M (£60M) 9.3% £20M (£27M) 23.8%

WalesWales

April 2018 to June 2018 Total Residential Commercial
Lots Offered 494 (560) 11.8% 387 (451) 14.2% 107 (109) 1.8%
Lots Sold 376 (412) 8.7% 292 (336) 13.1% 84 (76) 10.5%
Percent Sold 76.1% (73.6%) 3.4% 75.5% (74.5%) 1.3% 78.5% (69.7%) 12.6%
Total Raised £37M (£41M) 8.8% £27M (£29M) 6.3% £10M (£12M) 14.7%

West-MidlandsWest Midlands

April 2018 to June 2018 Total Residential Commercial
Lots Offered 828 (965) 14.2% 689 (802) 14.1% 139 (163) 14.7%
Lots Sold 640 (733) 12.7% 537 (614) 12.5% 103 (119) 13.4%
Percent Sold 77.3% (76.0%) 1.7% 77.9% (76.6%) 1.7% 74.1% (73.0%) 1.5%
Total Raised £92M (£97M) 4.8% £67M (£74M) 9.5% £25M (£23M) 10.5%

Yorkshire-and-The-HumberYorkshire and The Humber

April 2018 to June 2018 Total Residential Commercial
Lots Offered 685 (749) 8.5% 581 (638) 8.9% 104 (111) 6.3%
Lots Sold 528 (589) 10.4% 453 (503) 9.9% 75 (86) 12.8%
Percent Sold 77.1% (78.6%) 1.9% 78.0% (78.8%) 1.0% 72.1% (77.5%) 7.0%
Total Raised £62M (£75M) 18.1% £45M (£51M) 10.7% £16M (£25M) 33.4%

Your Comments

If you would like to comment on anything in this email, or have any suggestions for future newsletters, we would like to hear from you. So please email us anytime.

A word from the editor

David Sandeman
As ever I welcome any feedback you may have regarding the newsletters or indeed the wider market in general.

Kind regards

David Sandeman
davids@eigroup.co.uk

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