“Perfect window of opportunity for sellers” says Auction House,
as busier August boosts numbers
Auction House – operating as Auction House Loveitts in Coventry and Warwickshire - says that there has rarely been a better time to sell property, following an August of increased sales during what is traditionally a slack holiday month for the industry.
Improved supply and high demand meant that the UK’s largest property auctioneer sold 90 lots from 124 offered at a steady success rate of 73% (72.6%) and raised £12.4m (£12,421,000) in the process. This year’s result was more than two-thirds up on 2019 – proof of the higher activity level and strengthening performance of the sector.
Commenting on the month’s results, Sally Smith, Auctioneer and Director said: “What we are experiencing now is a perfect window of opportunity for sellers. Indeed, there are three key reasons why those with surplus properties should get them entered into our forthcoming auctions in September, October and November.
“Firstly, the auctions market is buoyant; selling prices have risen and buyers are plentiful. This is undoubtedly in part down to the current Stamp Duty holiday announced by the Chancellor back in July, which is due to remain in place until the end of March.
“Secondly, commentators are suggesting that potential changes to Capital Gains Tax (CGT) may soon be announced. Obviously, it makes sense to achieve an auction exchange prior to any such tax increases. So it’s important for sellers to check out how this might affect them, and act accordingly.
“Thirdly, we have now entered Autumn, and the cold wet weather of winter will soon be with us. Past experience shows that vacant properties can deteriorate significantly during the winter months - and therefore our best advice is to sell before the weather breaks.”
Auction House is reporting strengthening performance post-lockdown, with cumulative sales since the start of 2020 of 1,849 to the end of August, at a success rate of 78% (77.7%), with over £237m raised so far (£237,344,675).
Sally Smith added: “So while the effects of Covid-19 are still with us, the auctions market continues to offer a huge number of opportunities. Auction House has 620 lots entered for sale in September – which is more than any other auctioneer and the highest monthly total since February, before the lockdown began.
“Buyers will be attracted by the choice and diversity of properties being offered and the keen guide prices always associated with auctions. And of course the continuing Stamp Duty holiday is an additional stimulus to the market. Buyer confidence is strong, boosted by pent up demand, the current shortage of rental accommodation plus the knowledge that property is traditionally the best hedge against inflation.
“The desire to buy property has been extremely high post-lockdown. The lots that Auction House is auctioning in September offer the opportunities that so many have been searching for.”