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Property auction sales fall in July as market cools

Property auction activity saw a decline in July, with fewer properties sold and a drop in the total value raised, reflecting a broader slowdown in the housing market.

  • The number of lots sold at auction fell by 8.8% year-on-year in July.
  • The total value of property sold at auction decreased by 18.6% to £540 million.
  • Commercial auctions showed more resilience, with lots offered and sold slightly above last year's levels.

Property auction activity cooled in July following a stronger performance in June, according to figures from Essential Information Group (EIG). The national success rate for properties sold at auction fell to 64.7%.

The number of lots offered decreased by 2.4% year-on-year, while lots sold saw a sharper drop of 8.8%. The total value of property sold at auction also declined, falling by 18.6% to £540 million.

This slowdown mirrors softer conditions observed across the wider housing market. Rightmove reported that buyer demand in July was 6% lower than the previous year.

Despite the overall trend, commercial auctions proved more resilient, with both lots offered and lots sold remaining slightly above last year's figures. Regional performance also varied, with London and the South West experiencing some of the strongest growth between May and July. Yorkshire and the Humber also stayed ahead of last year's levels, and Scotland continued to show strong growth from a lower base.

Conversely, the East Midlands and North East recorded weaker sales volumes. Several regions also saw a decline in the total value of property sold.

David Sandeman, EIG's managing director, noted that July was a softer month after strong June results, reflecting wider property market trends. However, he added that the longer-term outlook remains positive, with lots offered and sold over the past 12 months up by 11.7% and 10.1% respectively. Activity is typically expected to ease in August during the summer holiday period before picking up in the autumn auction calendar.

Why this matters: The decline in property auction sales and value suggests a broader cooling in the housing market, which could indicate shifting conditions for buyers and sellers.

What this means for you: If you are considering buying or selling property through auction, July's figures indicate a softer market with fewer sales and lower values compared to the previous year.

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