Property auction rooms hot up

New evidence of a revival of the UK property market comes from auctioneers who have seen a rise of almost two-thirds in the proportion of properties attracting successful bids.

Countrywide Property Auctions says it sold around 79% of all properties going under the hammer between 28th May and 12th June, compared with 49% during the same period of 2008.

In addition, 40% of properties sold exceeded their guide price, compared with a 7% average for the first half of 2009.

The number of sales ahead of auction also rose as did the number of bidders buying homes, as opposed to investment or development properties.

First-time buyers and parents helping children to get a foot on the property ladder are included in this group.

Countrywide’s chief auctioneer, Mark Tanton, says purchasers are no longer waiting to see if prices fall further and that private buyers are in many cases outbidding professional investors.

The firm’s findings come alongside Nationwide’s latest house price index which shows a 0.9% rise in the average price of a home in June, to £156,442.

According to the building society, prices have increased during three of the past four months, easing the annual rate of decline to 9.3%, compared to 11.3% in May.

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