Sellers look to the auction room - 25/07/11
Sellers are looking to the auction room for a quick sale as properties remain on estate agents’ books without a buyer.
Recent statistics revealed by property website Rightmove show seven out of 10 homes which have appeared on the market in 2011 have not yet found a buyer.
This trend has driven the average amount of properties registered on estate agents’ books up to 78 - the highest number ever for the time of year.
In contrast, The Essential Information Group reports that, in June, auction rooms across the UK revealed a 16.4 per cent rise in lots sold, a 17.6 per cent increase in percentage sold and a 17.8 per cent increase in total raised. The yearly figures have seen a 6 per cent increase in lots sold.
Chris Baguley, Director at national lender, Auction Finance Limited, which provides finance for auction purchases, said:
“However, if you’re planning to take this route, whether you’re a buyer or seller, do your research. Set a realistic reserve and be prepared to sell at this figure - remember, the fall of an auctioneer’s hammer creates a binding agreement, like an exchange of contracts. The popularity of auctions means the final selling prices of properties are beginning to rise so if you’re a property investor looking to snap up a bargain, it’s a good idea to get in quick.”
Auction Finance Limited provides funding to property professionals for all types of auction purchases and is able to agree a loan before, during or after an auction so that funds are available in time for completion.
