Digital auction house BidX1 sold a record £15.4 million worth of property at its first auction of the year, achieving a 79% success rate from 50 lots sold.
Lot 12 – a site in Surrey with planning permission for a part-new build, part-conversion to provide 8 units – was the highest price achieved under the virtual hammer. The lot had a starting price of £1.2 million and received 40 bids before selling for £1.4 million.
A former Warburtons Bakery Site in West Yorkshire also attracted high levels of interest with 160 bids placed. The property sold for £562,000 – 33% in excess of the guide price.
Of the 64 lots that made up the catalogue, 28 (44%) were located in London, underlining a continued appetite in the capital amongst both sellers and buyers.
“The continued ease of the digital auction model has meant bidders around the world are able to take part in the auction,” Antony Schober, chief operating officer at BidX1, said.
“We had one successful bidder purchase a lot on his mobile phone whilst he was skiing in the Alps. This shows how accessible and easy to use BidX1’s digital auction model is.”
He added: “Although we are operating in a tough market, the appeal of digital auctions is proving compelling to buyers and sellers seeking transparency, speed and efficiency whilst receiving professional property expertise throughout the sales process.”
Overall, the auction had 990 bids placed on the properties in the catalogue.
Other highlights of the sale, which had an average lot size of £308,000, included:
- Lot 6 – Part of a popular shopping destination on 144 North End Road, West Kensington, the property sold £49,000 over guide price at £189,000 with 48 bids placed.
- Lot 58 – Located on Oberstein Road, Battersea, the property had the first bid starting at £500,000 and eventually sold for £593,000 with 93 bids placed.
- Lot 61 – Situated on 99 Morton Way, Southgate, the property received 75 bids overall, with the first bid at £543,000. Buyers valued the potential of extending the property or building an additional unit; the property sold for £734,000.
- Lot 82 – The property on 9 Liverpool Road, St Albans, sold £80,000 over guide price for £480,000 with 28 bids.
Sales up at Auction House (yet again)
The first round of auctions of 2019 at property auctioneer Auction House recorded sales of 508 and a success rate of 74.4%.
The sales are up 7.9% from last year, with the auctioneer raising a total of almost £55.7 million (£55,683,669).
Commenting on the achievement, Roger Lake, founding director of Auction House, said the results are a positive signal that the auction method continues to deliver results, despite ‘gloomy predictions and hesitancy across the property market’.
“Buyers and sellers have returned in healthy numbers and year-on-year sales are up,” he continued. “Whilst we are reluctant to make predictions for the rest of the year, the good news is that Auction House has delivered a strong start and a level of confidence for the forthcoming months.”
Lake also said that the auctions market is largely unrestrained by uncertainty of Brexit, with buyers and sellers pushing through deals. “It’s that competitive environment that pushes prices, and delivers results for the needy seller, regularly at prices well above and beyond reserve,” he said.
One such property – 25 Willowbank in Carlisle – sold at Auction House Cumbria’s Carlisle auction on February 21. Situated near the castle and the city centre, the modern, two-bedroom flat was guided between £32,000 and £45,000 with a potential investment yield of 12.5% at the middle of the guide price. It sold for more than twice the lower guide at £71,000.
Lake advised those with vacant properties to sell very soon. Properties that could benefit from improvement works are highly sought-after at this time of year, as buyers seek projects to work on during the spring and summer months.
He further explained that development land is seeing a resurgence of demand in many areas. Investment landlords are returning cautiously and selectively around the country. Landlords wishing to sell can now do so by auction, but Lake warned that competitive pricing is the key to early success.
“Without a doubt, selling at auction has never been easier or faster – and it’s the speed and certainty of the process that is so appealing,” Lake said. “There are numerous opportunities available to able buyers, and a good chance for sellers to turn surplus assets into cash quickly.”