Posts with tag: Auction House

Partnership between online auctioneer and mortgage lender revealed

Published On: August 19, 2016 at 11:16 am

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Categories: Finance News

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Today has seen an industry-first partnership between an online auction house and a mortgage lender.

Short-term property finance lender LendInvest has become the funding partner for online auction house LOT11.

Partnership

This partnership will see LendInvest pre-qualify selected lots at LOT11 auctions which come within the lenders’ criteria. In addition the lender’s logo will appear next to any auction property that has been pre-qualified by them. This will allow buyers to see at a glance which properties the lenders is prepared to loan against.

On the information page of each property, funding details will be present, as will other key information. This will include floor plans to legal documents.

Matthew Tooth, Head of Distribution at LendInvest, said, ‘this exciting partnership reflects the growing importance of auction finance to LendInvest. Both LendInvest and LOT11 are challenging the status quo in our respective fields with the application of sensible technology, so we make perfect partners. This service will help prospective buyers and their brokers move quickly to secure properties that catch their eye.’[1]

Partnership between online auctioneer and mortgage lender revealed

Partnership between online auctioneer and mortgage lender revealed

Service

Kevin Coughter, CEO of LOT11, added, ‘LendInvest has established itself as a lender which offers a speedy, efficient and flexible service for buyers and sellers who need to move quickly. LOT11 clients are accustomed to achieving fast results and having all of the information they need at their fingertips; this partnership will only enhance their journey with us.’[1]

The partnership will officially begin at LOT11’s next quarterly auction on the 27th September.

[1] http://www.propertyreporter.co.uk/business/industry-first-partnership-between-online-auction-house-and-lender-announced.html

Rise in buy-to-let landlords selling at auction

Published On: May 10, 2016 at 11:11 am

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Categories: Landlord News

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A rising number of buy-to-let landlords are looking to sell at auction, rather than through estate agents.

That is the view of property auctioneer Auction House, which suggests there is evidence to support its claim.

Changing trend

Founding Director of Auction House, Roger Lake, believes that there are now more people selling homes as tenanted investments, rather than serving notice to the tenant and selling as empty homes.

Mr Lake said, ‘the problem for the landlord is how to achieve the best sale price without losing too much rental income. Most estate agents tell their letting clients to decant their tenants before instructing them to sell the property. But that approach comes with some major disadvantages. Not only do landlords stop receiving rent but the property often looks unkempt and might need redecoration. The process is invariably long and sometimes tortuous and will require the landlord to find monthly mortgage repayments from other sources for up to six months or more.’[1]

‘By contrast, an auctioneer will recommend that landlords sell with tenants remaining in place and the properties offered as tenanted investments. This has the prime advantage of the landlord continuing to receive rent while the sale is taking place. The property also usually presents better when occupied-and invariably the tenants will want to stay put rather than be forced out. It’s a win-win for both parties.’[1]

Rise in buy-to-let landlords selling at auction

Rise in buy-to-let landlords selling at auction

Improvements

Lake’s comments come as Auction House’s latest sales results have been published. The results make good reading, with sales in April of 290 lots 402 offered, a success rate 72%. These sales made a total of £44.5m. The first quarter of the year saw 1,027 lots sold from the 1,241 on offer, resulting in a success rate of 76.6% and a sales value of £137.5m.

‘Demand for residential investments hasn’t dropped away as many pundits suggested,’ Lake observed. ‘Indeed, we have seen a strong start to 2016, with most of our sales rooms showing growth over last year’s excellent performance. There was some seller hesitancy immediately following the introduction of the Stamp Duty surcharge but this is now behind us and entries are strengthening. Most believe that the outcome of the Brexit vote will have little short term effect on the auctions market. Normality is returning to the supply side in our sector and buyer demand is still healthy. I expect activity to increase further during the summer and autumn.’[1]

‘As far as buy-to-let is concerned, there are still numerous cash-rich buyers who see rental property as a highly valued part of their investment programme. It’s one that has consistently delivered in the past and should continue to do so in the future,’ Lake concluded.[1]

[1] http://www.propertyreporter.co.uk/auctions/more-btl-landlords-drawn-to-sell-at-auction.html

Auction House still enjoying record sales

Published On: April 19, 2016 at 10:34 am

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Categories: Finance News

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Sales at Auction House were positive in the latest auction on 14th April, with properties sold totalling £15,567,480

This total was very encouraging, with many onlookers predicting that the introduction of the 3% additional Stamp Duty would slow the market.

In total, 79% of lots were sold, many above their guide price.

Performance

During the first quarter of this year, Auction House recorded its strongest performance in its nine-year history. Between January and March, this auctioneer sold 729 lots from 939 offered. This figure was up 14.3% on the same period in 2015 and raised £92.2 million.

This underlines how residential landlords rushed to invest before additional stamp duty surcharges came into play.

Auction House London Director, Jamie Royston, noted, ‘we really didn’t know what to expect at the first auction since the Stamp Duty rises were brought in at the start of April. But with realistic prices agreed from vendors the auction market is still proving to be buoyant-although fears over Brexit are dampening the enthusiasm of some investors.’[1]

Auction House still enjoying record sales

Auction House still enjoying record sales

Finding the norm

Founding Director of Auction House, Roger Lake, noted, ‘the auction market will quickly find the new norm, with investor buyers factoring in the new rates of Stamp Duty. There is still a real shortage of housing stock in the UK and population numbers are rising. Rents are pushing up too and first time buyer numbers are increasing aided by the many favourable government initiatives. However, the bigger influence for buyer sentiment during the second quarter this year will no doubt be the debate over Brexit.’[2]

‘The property market never likes uncertainty-and the reduced demand means that more bargains could be found around the country in our auctions during April, May and early June. Our view is that the time is right for prudent investors to dip in rather than duck out, ‘Lake added.[2]

[1] http://www.propertyreporter.co.uk/auctions/auction-market-still-buoyant-post-stamp-duty-rises.html

[2] http://www.propertyreporter.co.uk/auctions/auction-house-announces-record-q1-figures.html

Auction house reveals record start to year

Published On: July 14, 2015 at 12:23 pm

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Categories: Landlord News

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Award-winning auctioneer Auction House has announced record results for the first half of 2015, with the total number of lot entries for the group reaching the highest ever figure.

Records

In the opening six months of the year, the auctioneer sold 1,415 through its national network of 40 auction rooms. This was a rise of 14% on the same period last year and represented a success rate of 76%. What’s more, a record £179m was raised in the process.[1]

For July, a best-ever figure of 726 auction lots are to be offered, which is a 10% increase on the groups previous highest monthly total.[1]

Roger Lake, Founding Director of Auction House, said that, ‘this double-whammy of successes have taken place during a period of weakened supply and the market disruption that surrounded the General Election.’ He continued by saying, ‘despite these challenges, Auction House has managed to buck the national trend and deliver our best achievements ever-both in terms of lots sold and lots entered. Yet again, it’s a sure sign that our regional approach to auction sales is winning through.’[1]

Commercial gains

Auction house is also noting a marked increase in the number of commercial lots being offered. According to the group, the diversity of stock is proving to be an added attraction, with increased demand for commercial buyers and sellers for regional auction services.

Auction house reveals record start to year

Auction house reveals record start to year

Mr Lake stated, ‘more and more local sellers are choosing the speed and certainty that auction provides, rather than the very protracted private treaty process with its associated high cancellation rate. The prices achieved through our regional auction rooms regularly equal or exceed the levels obtained by estate agents for suitable properties and in a fraction of the time.[1]

‘With 40 sales rooms across the UK, our unique approach of selling property to local buyers at higher prices through nearby auction rooms is a proven formula that no other auctioneer in the country is able to match,’ Lake concluded.[1]

[1] http://www.propertyreporter.co.uk/auctions/record-results-and-entries-at-auction-house.html