The benefits of going under the hammer

Wed 03 Aug 2016

Increasing numbers of people are choosing to sell their homes at auction and a recent increase in demand for properties at auctions is pushing prices up.

There are lots of benefits to selling by auction; it’s quick, there’s a fixed timescale, it’s straight forward, it’s easy, there’s no gazumping and sellers can be sure they’re getting the best price in the market at the time. Auctions also remove lengthy legal headaches – the drop of the hammer marks the exchange of contracts and completion happens within 28 days.

Some properties and seller situations make sale by auction the best choice. Our Hayle team recently had one of those properties - a dilapidated flat requiring complete renovation, whose owner needed a quick sale for personal reasons.

It was an attractive prospect with accommodation comprising lounge, kitchen, two bedrooms, bathroom, garden area, a shared courtyard and a storage shed. On this occasion the looming auction date fuelled an even speedier sale. It was snapped up by a builder a few weeks before the sale date achieving more than twice the guide price, but in general an auction would have been the most successful and profitable route for this type of property.

Paul Thomas, Sales Business Development Manager, said: “I’ve noticed quite a rise in auction sales. They’re attracting predominantly local buyers, typically developers and investors who are most interested in parcels of land, run down houses, mundic properties and generally anything with development potential. Although, to be frank, anywhere in Cornwall is very saleable!” 

He added: “Mortgage providers are becoming increasingly - some might say overly - cautious about what they will lend on so there are seemingly more ‘cash only’ properties available.”

Millerson is working in partnership with national auctioneers, Auctionhouse UK, organising monthly sales in the county. This year they have had an impressive success rate in excess of 90%.

For full details of our upcoming auctions please phone Tel: 01872 245100.