Residential Update: Why you should be choosing to sell property and land at auction in 2023
Fri 06 Jan 2023
As we enter 2023, it is time to look ahead and also reflect on our successes of 2022 in auctions.
The results speak for themselves as our teams in the Norwich and Lincoln offices sold a staggering total of over £31million worth of property and land in 19 auctions last year.
And despite the economic climate and fears of moderate house price falls affecting the market, our auction service continues to go from strength to strength.
Both Norwich and Lincoln offices are now busy preparing for two separate auctions in February with a total of 11 auctions scheduled over the coming year and more likely to be added. The first of those auctions on 7th-8th February already has almost 30 lots listed.
This follows an outstanding year in auctions with our Norwich office holding 12, offering 100 lots and selling property and land worth a total of £17.86million. In Lincoln, the teams sold 70 out of 90 lots in 2022 - totalling £13.38million worth of property and land.
This included the sale, held in the local village hall, of the prestigious Thurgarton Estate in Nottinghamshire, divided into 10 separate lots which all sold and totalled £3.78million, which was £541,000 over the guide price.
Auctions suit those requiring a quick sale and offer the vendor much more reassurance. Unlike selling by private treaty, the buyer signs a legally binding contract on the day of the auction and has to pay a £10% deposit when contracts are signed.
Not all lots will sell or reach the reserve but when they do - and the gavel comes down - the sale should take between six-eight weeks to complete.
Peter Hornor, auctioneer and chartered surveyor in our Norwich office, said: “We always like to offer a variety of properties and amenity land across the residential, commercial, industrial and investment sectors in city, urban and rural environments.
“Our strength lies in our ability to sell lots across the price ranges – from terraced houses going under the gavel for around £120,000 to large properties for close to £1million and of course, everything in between.
“The good news is that we do have a market that currently remains strong in this part of the country despite the economic challenges. Evidence of this is the fact we already have almost 30 lots entered into our first online auction in February. We have four more auctions planned in for the year, in March, June, September and December and are likely to add more.
“So, online auctions continue to deliver as an excellent method of buying and selling property and land. In the current economic climate, some people will look to auctions as a way of buying their first home, for others, they may decide to raise funds by divesting of property they own.
“We mustn’t forget that auctions are also a good way of buying and selling parcels of land – last year, we saw some small plots go for significantly higher than the guide price. These land lots were not for residential development but amenity parcels for those seeking somewhere to enjoy peace and quiet – perhaps as an ongoing consequence of the pandemic.
"We also saw excellent results achieved for buildings bought by investors and developers; for example, 1-3, South Quay, Great Yarmouth, which was for sale for a guide price of £300,000-£350,000 and sold for £777,000 last February.
“We are finding the flexibility of online auctions for people is key as we can sell for our clients at very short notice. As our results from 2022 also show, auctions are a proven method of maximising value and achieving at times, well over the guide price.
“We look forward to continuing to look after our clients offering our expertise in auctions across the counties in which we operate and beyond, offering an unparalleled opportunity and service.”
Our client was initially concerned about selling by using the auction process, but we firmly believed this was the correct route to market for this highly sought-after selection of assets and his faith in our experience truly paid off."
James Mulhall, Residential/Auction Sales Manager, Lincoln
In our Lincoln offices, the County Property Auction team also had an excellent 2022 and are preparing for their next auction, on February 28th.
James Mulhall, Residential/Auction Sales Manager, Lincoln said: “We held seven auctions in 2022 including the highly successful Thurgarton Estate where we divided a substantial Nottinghamshire farming estate into 10 lots.
“We chose to combine technology with a good old fashioned in-room auction which was held in the Thurgarton village hall. A packed room of bidders really enjoyed the evening of excitement and interestingly, all the successful bidders came from the room rather than online.
“Our client was initially concerned about selling by using the auction process, but we firmly believed this was the correct route to market for this highly sought-after selection of assets and his faith in our experience truly paid off.
"We sold the main property, Hill Farmhouse for its guide of £800,000. Another property on the Estate, Hill Cottage, for sale for a guide price of £300,000, sold for £500,000. Former dog kennels, for sale for a guide price of £150,000, sold for £342,000 and land totalling 1.65 acres, for sale for a guide price of £130,000, sold for £234,000."
Other highlights included a former Railway Yard, Tillbridge Lane, Stow Park, Lincoln which was for sale for a guide price of £70,000 and which sold for £184,000.
“The market has experienced many challenges over the last few years, but it has been remarkably robust in the region in which we serve.
“I suspect this year will be no different. Speed and surety of sale is likely to be an attractive prospect for sellers and we continue to offer this - a swift and transparent selling process which achieves the best market value for a variety of personal and corporate clients.”
Auctions are being held by Norwich on 8th February, 22nd March, 21st June, 27th September and 6th December.
In Lincoln, the County Property Auction dates are on 28th February, 19th April, 14th June, 9th August, 18th October and 13th December. Other dates are likely to be added.
You can contact Peter Hornor or Trevor Blythe in the Norwich auction team on 01603 629871 or James Mulhall in Lincoln on 01522 504318.
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