Auction House London has warned on tough times ahead, despite selling 84% of lots at its last auction of the year.
The group raised £26.3m at the sale on 7 December, with lots selling well under the hammer.
Lot 1 set the pace for the auction with a house in Finchley (pictured), which was guided at £475,000 before selling for £802,000. The four-bedroom end-of-terrace property on the High Road, N12, needed total refurbishment but attracted fierce competition.
A four-bedroom terraced house in Guildford Grove, Greenwich, again needing a total overhaul, also sold well. Guided at £500,000, it sold for £715,000.
Lots with potential continued to prove the most interesting for buyers, including a property in Walton-on-Thames that had been used as a workshop but had lapsed planning for conversion. The two-storey former coach house was bought for £185,000 from a guide of £80,000.
Andrew Binstock, auctioneer and director of Auction House London, said, “Overall, it was a great day at this auction, but it is clear that the market has taken a massive hit. A large number of our lots are still selling for miles above their reserve and guide prices, with buyers continuing to be ready to invest.”
He added: “The people attending our auctions are clearly intent on buying. It’s time to be realistic about prices, and set reserve and guide levels which will attract bidders into the live-stream auction room. It’s a sign of the times but it will be more challenging for everyone next year. Interest rate hikes have obviously affected the market, but we can ride this storm if we are grounded about what we are selling.”
Auction House London’s next auction takes place on 8 February 2023.
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