Strong results from the Auction rooms across the country in 2011 signal a positive outlook for 2012.
At the beginning of 2011, the housing market started a little subdued but stable, with the entire year proving very tough for the sale of houses on the open market. The Auction industry, however, was considerably more resilient to the difficulties experienced by the open market. The number of lots entered and sold at Auction was more encouraging than they had been for a long time. Chris Bagley from Auction Finance reported nationally “in the first half of 2011, three-quarters of all properties offered at auction sold, meanwhile the papers were overflowing with negative stories that seven out of ten properties remain unsold. It was clear – the property section in general, although picking up, was not replicating the success in the Auction room”
Loveitts Auction Manager, Sally Smith reported that properties in Coventry and Warwickshire, being bought at Auction, were largely being purchased by investors. “The buoyant rental market has had a really positive effect on the sale of residential properties at auction. In particular terraced properties within easy reach of the City Centre have proved attractive for First Time Auction Buyers. Those investors who are considering their first buy in the area can see that the calculation of rental income against the initial purchase price, was well worth the investment. In addition properties in and around Coventry in need of modernisation were also proving to be very popular.
The start of 2012 is showing signs of being positive, but remaining tough. There is certainly money out there to be spent, although buyers are being more cautious about how and where they spend their money.”
For more information regarding the sale of property by Auction, please do not hesitate to contact Sally Smith at Loveitts on 02476 527789 or sally.smith@loveitts.co.uk.