STRONG DEMAND FOR LAND AS AUCTION SALES GROW
28 June 2013
Bidding was brisk at Osborne King’s second auction of the year with virtually all of the 28 lots on offer sold in just under an hour. The auction team had sold four properties prior to auction day, which resulted in an overall sales figure of 96% and a total sales receipt of approximately £2 million. The diverse assortment of property featured in the auction catalogue included commercial premises, private houses and residential development land with maximum reserve prices ranging from £15,000 to £395,000.
As in previous auctions, bidders were eager to snap up keenly-priced residential properties with a number of two and three-bedroom properties in Lurgan and Portadown making their reserve prices of £57,000 - £58,000 and in one case exceeding this reserve by 15% and selling for £63,000. In contrast to earlier Osborne King auctions, this auction featured a large proportion of development sites, all of which sold for significantly over their maximum reserve prices. A development opportunity at Fashoda Street/Grove Street in East Belfast went on the market at £35,000 and was sold for £67,000 while sites on the Oriel Road, Antrim and Grange Road, Ballymena made over double their respective maximum reserve prices of £25,000 and £16,000 selling for £52,000 and £37,000 respectively. Among the properties sold prior to auction day, the highest priced lot in the catalogue, a 50 acre farm holding outside Dungannon exceeded its reserve price of £395,000 selling for an undisclosed sum.
Mark Carron, head of Osborne King’s auction team remarked: “Even though this particular auction had attracted considerable interest in terms of pre-auction enquiries and viewings, we were very pleased with the turnout and level of interest on the day. It was most encouraging to see keen bidding on several of the properties particularly the development sites, which suggests that many people consider property prices to have stabilised and are, therefore, eager to take advantage of these opportunities while they last. Property is again an attractive proposition for the cash-buyer or those with access to finance be it for their own use or for investment purposes. The last twelve months have shown that the appetite among investors, speculators and developers for property has increased greatly primarily in relation to cash buyers particularly as values now appear to have settled somewhat. That said, although the return of transactional liquidity is very promising, the continuing lack of credit will limit capital growth going forward.”
Osborne King’s next auction will take place on Friday the 29th November 2013 with a closing date for entries of 18th October 2013. Further information about the auction will be available online at www.osborneking.com/auction