The UK auction market is riding a wave of unprecedented growth, with demand surging and properties consistently exceeding their reserve prices, according to the latest NAVA Propertymark Auction Barometer.
The report reveals that 83% of NAVA Propertymark members saw lots achieving their reserve price or higher in Q4 2024 – a sharp rise from 71% in Q3.
The number of auction lots also saw a significant uptick, with 41% of auctioneers reporting an increase compared to the previous quarter.
Notably, over half of auctioned lots in Q4 surpassed their reserve price, reinforcing the sector’s resilience amid broader economic uncertainty.
ADAPTIVE MARKET
Propertymark Chief Executive Nathan Emerson says: “It is highly encouraging to observe the robust momentum within the auctioneering profession.
The sector continues to evolve and exceed consumer expectations, particularly with the expansion of live-streamed events and online engagement.
“The consistent growth in auction lots and prices showcases strong buyer confidence despite economic turbulence.”
TAXATION CHANGES
The sector’s strength has been particularly evident against the backdrop of significant tax changes introduced in the latest budget.
NAVA Propertymark President Stuart Collar-Brown pointed to rising Stamp Duty on second homes and buy-to-let properties, alongside an increase in Capital Gains Tax – from 20% to 24% at the higher rate and 10% to 18% at the lower rate – as key factors influencing market behavior.
He says: “October auction results saw a seismic reaction to market conditions, with lot offerings surging by 34% and lots sold jumping by 39% compared to the same period in 2023.
“The total revenue raised soared by an astonishing 47% to £558 million. Buyers and sellers alike are recognizing auctions as the fastest and most reliable way to navigate end-of-tax-year deadlines.”
Beyond property, the auction industry saw major success in the chattels market, with standout sales such as a rare 18th-century Chinese vase discovered in a Shropshire attic. Originally estimated at £50,000, the artifact stunned experts when it sold for a staggering £1.2 million in November.
