Jump to content
House Price Crash Forum
Sign in to follow this  
TheCountOfNowhere

Auction Sales Droping

Recommended Posts

Ive been reading this website for a number of weeks now with great interest and I am starting to be convinced that the housing market is starting to free fall.

I stumbled across the following auction website:

http://www.barnardmarcusauctions.co.uk/

if you go to it click on:

"Current Auction" on the left.

Then look at the "Percentage sold" of the last 5 auctions....seems to be dropping !!!! Its dropped from 80% to 66% sold in 5 months.

Has anyone noticed the same thing with other Auction results ?

I'll be keeping an eye on the next one in a couple of weeks to see what happens next.

Share this post


Link to post
Share on other sites
Ive been reading this website for a number of weeks now with great interest and I am starting to be convinced that the housing market is starting to free fall.

I stumbled across the following auction website:

http://www.barnardmarcusauctions.co.uk/

if you go to it click on:

"Current Auction" on the left.

Then look at the "Percentage sold" of the last 5 auctions....seems to be dropping !!!! Its dropped from 80% to 66% sold in 5 months.

Has anyone noticed the same thing with other Auction results ?

I'll be keeping an eye on the next one in a couple of weeks to see what happens next.

Firstly, the spending has been much the same through the year. The percentage figure

is due more to the fact that lately there have been more properties on auction.

Secondly, running down the auction list, I notice that the large majority of "unsold"

items missed their reserve price by very narrow margins.

It is a mistake to auction property and put a round figure reserve (say 100,000) down.

Better to put an unexpected 98.7, so that prices inadvertently go through the reserve,

before hitting a psychological barrier.

I would not read too much into this.

What it might show is that amateurs are auctioning property, rather than professionals.

Share this post


Link to post
Share on other sites
Firstly, the spending has been much the same through the year. The percentage figure

is due more to the fact that lately there have been more properties on auction.

Secondly, running down the auction list, I notice that the large majority of "unsold"

items missed their reserve price by very narrow margins.

It is a mistake to auction property and put a round figure reserve (say 100,000) down.

Better to put an unexpected 98.7, so that prices inadvertently go through the reserve,

before hitting a psychological barrier.

I would not read too much into this.

What it might show is that amateurs are auctioning property, rather than professionals.

You may be right, but on a very rough and ready analysis, I think that there might be something starting. Not only are sales percentages down, but on a broad scale, the price paid per SOLD lot has decreased gradually since May on an overall trend basis. Of course this could be nothing more than different types of property coming to auction in these sales (I hven't gone through the catalogues lot by lot)

In addition to the above, I have seen a couple of places nesr me (around the Anerley / Penge / Norwood areas of London) go for auction, and fail to sell with a much lower top bid than I would have expected to see based on EA window prices for apparently similar properties.

None of this of course says that the market will crash tomorrow, but it does give an indication that things could be on the turn. After all, if lots of properties are "just" failing to reach reserve, could this not suggest that it may be the case that lots of properties are "worth" just a little less than the vendors expect, and are also "worth" just a little less than they were a couple of Months back ?

Edited by Jason74

Share this post


Link to post
Share on other sites
Ive been reading this website for a number of weeks now with great interest and I am starting to be convinced that the housing market is starting to free fall.

After a few weeks you are lucky not to be convinced that western civilisation as we know it is coming to an end and that you should sell your house and buy gold sovereigns to bury in the ground somewhere. :lol::lol::lol:

Share this post


Link to post
Share on other sites
After a few weeks you are lucky not to be convinced that western civilisation as we know it is coming to an end and that you should sell your house and buy gold sovereigns to bury in the ground somewhere. :lol::lol::lol:

Funny you should say that...I have in fact recently sold my property in Northampton, about 2 months ago, just a couple of weeks before the Northern Rock debacle. I originally tried to sell for 390K, dropped to 370K then ended up accepting 350K !!!! And that was the best offer in 12 months of trying to sell !!!

I'm now nervously sitting on a pile of cash (split between various banks). I was looking to buy straight away and I have been viewing a lot of places, in Northamptonshire. From my recent experience the agents are saying people are accepting offers around 95% of asking and that a lot of asking prices at the top end are dropping,, maybe plummeting would be more accurate. I dont look a the low end much but there seems to be a lot of flats being build and a lot of developers offering huge incentives to buy them. Anyone buying them must need their heads looking as it certainly look like they might loose relatively big in the short term.

So, now, Im not so sure if buying right now is the right thing to do.

As an aside. I offered 60K Euros on an apartment in Spain that was on the market for 100K...the agent told me that they didnt think it was a cheeky offer and maybe buy christmas someone might accept such an offer...thats 40% under asking !!!

If I had a back garden I think I might just buy some gold and bury it there :-) Instead, Ive booked myself a 2 month vacation and I'll see how the land lies after christmas. The property values in Northamptonshire certainly are not going up but my money in the bank is, at 6.0 to 6.7% :-) Less tax of course :-(

In the mean time I'll be interested to see what the next set of auction results bring. I did notice that the number of lots being auction had jumped up too.

Roll on 2008 :-)

Share this post


Link to post
Share on other sites
You may be right, but on a very rough and ready analysis, I think that there might be something starting. Not only are sales percentages down, but on a broad scale, the price paid per SOLD lot has decreased gradually since May on an overall trend basis. Of course this could be nothing more than different types of property coming to auction in these sales (I hven't gone through the catalogues lot by lot)

Yes, agreed.

If, over a little time, we see the reserve prices falling, this would be highly significant.

Share this post


Link to post
Share on other sites
Funny you should say that...I have in fact recently sold my property in Northampton, about 2 months ago, just a couple of weeks before the Northern Rock debacle. I originally tried to sell for 390K, dropped to 370K then ended up accepting 350K !!!! And that was the best offer in 12 months of trying to sell !!!

I'm now nervously sitting on a pile of cash (split between various banks). I was looking to buy straight away and I have been viewing a lot of places, in Northamptonshire. From my recent experience the agents are saying people are accepting offers around 95% of asking and that a lot of asking prices at the top end are dropping,, maybe plummeting would be more accurate. I dont look a the low end much but there seems to be a lot of flats being build and a lot of developers offering huge incentives to buy them. Anyone buying them must need their heads looking as it certainly look like they might loose relatively big in the short term.

So, now, Im not so sure if buying right now is the right thing to do.

As an aside. I offered 60K Euros on an apartment in Spain that was on the market for 100K...the agent told me that they didnt think it was a cheeky offer and maybe buy christmas someone might accept such an offer...thats 40% under asking !!!

If I had a back garden I think I might just buy some gold and bury it there :-) Instead, Ive booked myself a 2 month vacation and I'll see how the land lies after christmas. The property values in Northamptonshire certainly are not going up but my money in the bank is, at 6.0 to 6.7% :-) Less tax of course :-(

In the mean time I'll be interested to see what the next set of auction results bring. I did notice that the number of lots being auction had jumped up too.

Roll on 2008 :-)

I sold and took on a rental for 6 months with the intention to find somewhere to buy but have decided to sit back and wait. I'm in no hurry now.

I went to an auction not long ago because I was curious, there were properties that normally wouldn't have gone to auction. My opinion only, is that the vendors and EA's think they can achieve more at auction than on the open market. They are hoping to catch the ones that have been watching too many property programmes. The auction was quiet, the main players left a long time ago.

Share this post


Link to post
Share on other sites
I sold and took on a rental for 6 months with the intention to find somewhere to buy but have decided to sit back and wait. I'm in no hurry now.

I went to an auction not long ago because I was curious, there were properties that normally wouldn't have gone to auction. My opinion only, is that the vendors and EA's think they can achieve more at auction than on the open market. They are hoping to catch the ones that have been watching too many property programmes. The auction was quiet, the main players left a long time ago.

The properties are mostly unsaleable $hite with unrealistic reserves.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 354 The Prime Minister stated that there were three Brexit options available to the UK:

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.