There has been a significant rise in the number of auction sales as buyers and sellers have sought sanctuary in  faster, surer routes to completion amid uncertainty over likely tax changes in the Autumn Budget, says Jamie Cooke (pictured), co-founder of Iamproperty.

He adds: “Despite reports of an autumn slump, early signs in Q4 show more vendors turning to auction to meet rising demand.”

11% rise

The firm, which is well known for its ‘modern method’ of auction, reports that such sales have climbed 11% year-on-year during the third quarter of this year, with 56,459 properties viewed between July and September, up 6% compared with the same time last yeare, including £555 million worth of property sold during the quarter.

By contrast, according to Landmark Information Group’s Property Trends Reports, traditional sales marked as Sold Subject to Contract fell by 6% year-on-year between July and September, and property listings dropped 1% during the same period, as buyers waited in suspense over possible tax changes and sellers dropped their prices.

Cooke points out that, currently, one in four sales in England and Wales falls through, which is costing buyers and sellers £400 million a year, whereas Iamproperty‘s transactions have generated £12 million in Partner Agent fees during Q3, which is a 12% increase compared with the same period last year.

Auction has been a powerful string in our bow, giving vendors more options and helping us secure strong outcomes.”

Kirsty Smith, branch manager at estate agent Stephenson Browne, said auctions continued to deliver results even through a quieter August. “Auction has been a powerful string in our bow, giving vendors more options and helping us secure strong outcomes, including sales to buyers who wouldn’t typically think they could purchase via auction, such as mortgage buyers.”

Read Iamproperty’s report in full.