26
Nov
Property auctions 'boosted' by receivership sales
The number of properties being sold at auction has increased as a
result of receivership sales, an industry expert has said.
Simon Parker, head of commercial auctions at Savills, commented
that he had noticed an increase in lots originating from this
sector.
He said: "The auction market has seen an influx over the last month
(November) of properties coming to the market as a result of
receiverships."
Mr Parker added that the firm had expected to see this increase
earlier in the year, but welcomed the rise, which will contribute
to its December auctions.
"This increase in stock will hopefully go some way to satisfy the
growing demand from discerning investors looking for better returns
than bank deposits," he stated.
The Land Registry reported that the average house price in England
and Wales increased by 0.9 per cent in September compared with the
previous month.
However, industry experts have urged caution as increased demand is
putting upward pressure on values due to the lack of supply.
In November, the British Property Federation commented that the
reduction in supply had created a "bubble" that was unlikely to
last once the market opens up again.
