"As ever, bricks and mortar is seen as one of the safest forms of investment in difficult times"
- Jeremy Prior - Auction House
Auction House has experienced a strong start to 2025, achieving significant growth in its first-quarter auction activity. The company hosted 44 auctions nationwide, including online, livestream, and in-room events, offering a total of 1,918 properties. This represents a 14% increase compared to Q1 2024, resulting in 1,341 properties sold and a total sales value of approximately £185 million.
February performance sets new records
February proved to be the standout month, with the company breaking previous records for both sales and the number of lots offered. The lead-up to the Stamp Duty changes in April led to heightened activity, with auction conditions, including immediate contract exchanges and completion within 28 days, encouraging buyers to act quickly.
As a result, bidder registration numbers for national online auctions surged by 85%, and 935 lots were entered for auction—surpassing the previous record of 860 lots set in September 2024. A total of 676 lots were sold in February, generating £93.6 million in sales.
Impact of anticipated changes on market activity
The auction results highlight how changes or the anticipation of changes can influence buyer and seller behaviour. Auction House's Managing Director, Jeremy Prior, noted that the high number of lots offered in September 2024 was likely driven by the speculation surrounding the Chancellor’s Autumn Statement, similar to how the Stamp Duty changes in early 2025 sparked a rush of activity.
Market outlook amidst global uncertainty
Despite global economic uncertainties, including potential impacts from international trade policies, the UK property market appears to have adapted well to the Stamp Duty changes. According to the latest House Price Index, Rightmove reported a 1.4% increase in the average asking price from March to April 2025, suggesting resilience in the housing market.
Auction House anticipates that potential reductions in the Bank of England's base rate later in 2025 may further support market activity.
“Global uncertainties will certainly continue to test the property market, but its resilience is already being displayed in the wake of the Stamp Duty change. As ever, bricks and mortar is seen as one of the safest forms of investment in difficult times,” said Prior.
"Looking ahead, we anticipate that further reductions to the base rate will boost the market over the remainder of 2025. It is currently expected that a decrease will be announced in May, with a drop of up to 50 basis points (bps) occurring over the course of the year. “With this reduction, we expect an increase in market activity and growth as stakeholders, who have previously been priced out, are drawn back into the market.”
