Online auction house IamSold says half of purchasers using its platform are home buyers rather than investors, and that more agents are using auctions in their instruction pitches as online-only, hybrid and proptech companies continue to disrupt their traditional agency models.
Data from IamSold reveals that it has seen a 55% uplift in value of homes sold through its auctions while the number of homes sold has increased by a third.
This is evidence, the company claims, that both more agents are using auctions and that more upmarket properties are also going under the gavel.
“As agents continue to build auctions into their marketing package, we are also starting to see a major shift in public perception,” says Jamie Cooke, MD of IamSold.co.uk (pictured).
“Our stats from last year show a significant proportion of consumers turning to auction to buy property for their own use with almost a direct split between cash and mortgaged purchases – 43% of buyers bought for owner occupation while 47% purchased for buy-to-let purposes, and 10% bought to re-sell.
“This is very different to a few years ago, when auctions were almost solely the preserve of cash buyers; typically larger investors and portfolio landlords.”
These bullish figures from IamSold fly somewhat in the face of wider industry figures. For example, a few weeks ago, the EIG Group revealed that that number of lots offered for sale during November compared to the same month the year before dropped by 7.3% while the number of properties sold dropped by 10.3%. But like IamSold, EIG says the value of homes sold rose indicating that more expensive homes are now being disposed of via auction.