Auction properties promise big discounts

A finance company has analysed the scale of discount which auction properties claim to offer potential buyers.

Apex Bridging analysed market data on the guide price of auction properties set to go under the hammer across Britain, how they compare to similar housing stock currently up for sale in the wider market, as well as where the most homes are heading to auction.

The data does not take into account the eventual sale price of the properties, nor their condition - and thus not taking into account how much it may cost to bring those homes up to the condition of those available on the wider market.

However, the data reveals that:

As of mid-January there are currently 20,993 residential properties scheduled to be sold at auction across Britain;
The average guide price is £183,838 which is 29 per cent below the average price of £258,367 for similar sized homes selling in the open market;
The South East of England is home to the largest proportion of these auction homes, with 16 per cent of the national total;
The North West boasts the second highest at 13%, followed by the West Midlands (11 per cent), Yorkshire & Humber and the North East (both 10 per cent);
London is home to the smallest proportion of auction homes, with three per cent of the national total;
The biggest auction discounts are in the North East where the average guide price is 33 per cent below the region’s wider average;
Auction buyers in Wales and the West Midlands can expect a discount of 32 per cent;
The smallest auction discount is available in London at 24 per cent.