Estate agents sold a record number of properties via online auction between July and September, figures from proptech firm iamproperty have revealed.
Data from iamproperty’s third quarter Online Auction Index shows there were 2,530 properties sold online via the Modern Method of Auction during the period, an increase of 31% annually and up 7% on the previous three months.
Capital value raised also reached a record figure of more than £431m in the third quarter, an increase of 5% on the previous quarter and an increase of 27% compared with the same period last year. Sales in August alone topped £155m, which is the most iamproperty has ever seen raised in a single month.
Insights from Rightmove mirror these trends, with consistent quarter-on-quarter growth. In Q3, the portal listed 29,278 properties for sale via auction, which was an increase of 33% compared with the same period last year. When looking at the year to date, sales agreed increased by 28% year-on-year, to more than 15,000, with more than 135m listing views on auction properties.
Agents’ fees from auction sales also increased by 30% during the period, rising from £6.7m in the third quarter of 2022 to £8.7m this quarter, another record figure.
The Index also reveals that the South is still seeing the highest levels of growth in auction activity. In Q3, sales in the South rose by 42%, closely followed by the North which saw a 37% increase – both compared to Q3 2022. The highest selling property during the quarter was in Chiswick and sold for £2.38m - £381,500 above its reserve price.
Jamie Cooke, co-founder of iamproperty, said: “Whilst we’re beginning to see some signs of settling in the wider market it’s still a challenging landscape for estate agents, with a lower than average number of discretionary sellers and mortgage rates remaining at the higher end.
“However, there are still people out there both wanting and needing to move, and the agents who are able to offer auction as a method of sale to their vendors are feeling the benefit, as people are prioritising speed, security and transparency more than ever before which auction was made to deliver on.
“The summer saw a phenomenal few months for auction. Q3 was our highest selling quarter ever and I’m really pleased to see the results it’s achieving both for our partner agents and buyers and sellers. I’ve no doubt that demand for auction will hold strong as we go into Q4.”