"The Buy-to-Live sector has a 3% price advantage and the mortgage process is now fast enough to see buyers bidding with a mortgage offer already in hand"
Auction House has announced that it has increased its lead in auction sales by selling a record 3336 lots in 2016 – over 1100 more (1146) than its nearest rival.
Indeed, the gap between the two is even bigger than last year, when the group sold 1031 lots more than the auctioneer in second place.
Auction House is also celebrating a 77.7% success rate, which is also up on last year and well ahead of the industry average, and having raised a record £439 million.
Roger Lake said: “We put the ability to outsell all our competitors down to what we call ‘retail auctioneering’ – a model which appeals to corporate, public sector and private sellers. Put simply, we sell to local buyers at higher prices through regional auction rooms, and achieve prices similar to or ahead of those delivered by estate agents. Regional auction rooms are capturing an increasing share of all auction sales and will continue to be the engine room for growth in 2017.”
Roger Lake is also keen to point out that the practice of selling to owner-occupiers as well as investors provides an additional benefit.
He explains: “The Buy-to-Live sector has a 3% price advantage and the mortgage process is now fast enough to see buyers bidding with a mortgage offer already in hand. December was our second busiest month of the year with sales of 435 lots highlighting the continuing strong demand for auction properties and the desire amongst sellers to move stock prior to the onset of winter.”
Auction House has a busy 2017 planned – including the official launch of the new Auction House North West (with a successful first sale already under its belt) at the end of the month, and the launch of the new Auction House Bristol &West later in the year.
However, Roger Lake has noticed a marked north/south divide emerging in the UK, adding: “Our December results showed the market to be stronger in the northern half of the country, and our sales of commercial lots are significantly up there too. So we think that the market will be led from outside London this year – our sales rooms in Scotland, Wales, the North and the Midlands are all expected to show strong results in the next 12 months.
Nevertheless, with the appeal of our regional sales rooms growing, we look forward with confidence to a property market in 2017 where auctions should prosper.”