Overall, the total capital raised across commercial and residential properties fell by 9% from £427.8m to £389.2m. This follows a decline of 0.6% in lots sold and a 0.5% fall in capital raised between April and June.
The number of residential lots offered rose slightly by 0.4% to 2,651 year-on-year but sales fell by 4% to 1,788, according to Essential Information Group (EIG), driving down the conversion rate of lots sold from 70.6% to 67.4%. Between April and June, lots sold fell by 1%.
Despite the fall in the volume of lots sold, residential sales grew by 8.8% to £331m last month.
Commercial sales fared worse, with a 16% decline in the number of properties or land plots coming to auction and a 22% drop in sales from 262 to 205 year-on-year. The decline in activity led to a 41% drop in capital raised from the sales from £99.1m to £58.2m.
Activity between April and June for commercial lots painted a more positive picture than the annual outlook, however. Between April and June, lots offered and sold were up 2% and 3% respectively.
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Regional auction performance
Commenting in his newsletter, David Sandeman of EIG said the regional picture was one of mixed activity.
“The East Midlands, North West home counties and Wales all recorded solid growth across activity levels and capital raised,” he said.
East Midlands auctions reported a 10% rise in lots sold and a 17% increase in capital raised, while the North West home counties recorded rises of 8% and 12% respectively.
“London and the South East, by contrast, saw declines across most measures, particularly within the commercial sector,” added Sandeman.
London’s auctions recorded a 5% fall in lots sold and a decline in capital raised of 13%.
“Scotland and Northern Ireland reflected a more polarised picture, with strong results in some areas offset by weaker conversion rates in others.
“Yorkshire and the Humber delivered a strong quarter commercially, though residential performance pulled the overall figures lower,” he added.
