Landlords have long been a backbone of the auction industry but one player in the sector says the future is online bidding, not in-person.
New data from Auction House show the group selling £61.2m of property exclusively through timed online auctions, with £7.1m raised in November alone.
Auction House has expanded from a standalone auction room to a nationwide operation with offices throughout England, Scotland, and Wales.
Alongside regional livestream events, the auctioneers hold weekly national online auctions, with bidding available for only 24 hours. It began experimenting with timed online auctions in 2019 and promptly saw the potential that the new platform held for the market.
Managing director Jeremy Prior says: “If the pandemic has taught us anything, it’s that the future of property auctions is digital. From livestreamed auctions to online bidding, the industry has been dragged into the 21st century and online auctions are here to stay.”
Auction House offered 1,309 properties for sale through national online auctions in 2023 (compared to 577 in 2022), marking a 126 per cent increase from the previous year. It sold 796 properties, surpassing 2022 by 154 per cent.
The firm’s corporate sales manager, Lewis Hamilton, says: “The auction process is more convenient and accessible than ever before. We’re giving people the confidence to bid – you can see how many people you’re competing with, if people are bidding more than once, and it offers complete control for the buyer.
“We refer to it as a traditional auction with a modern platform. National online works on the same principals as any unconditional auction. If you’re the winning bidder the sale is legally binding, and the efficiency of auction means you’ll have the keys in your hands within 28 days.”
He adds: “A big development for 2024 is offering timed conditional auctions on a weekly basis. Bidding will open on a Wednesday at 12 noon and close the following Wednesday at 11am.”
“We are confident that conditional auctions will attract many buyers. The process, which can be completed in 56 days, is still quicker than the private treaty route.
“With buyers having a longer timeframe to secure mortgages, conditional auctions will open the doors for more people to explore auctions as an option.”
