Revealed: The Top Trends For 2023 Auction Market

Consumer demand for auction can no longer be ignored. Month after month this alternative method of sale sees increased uptake as the property market continues to fly headfirst into a new era of digitalised processes and a demand from buyers and sellers for a better transaction experience that suits their circumstances.

2022 has seen the Modern Method of Auction grow and thrive in booming and challenging market conditions since iamproperty pioneered the method back in 2009. But what is driving the growth and demand that is continuing at pace as we enter 2023?

For Estate Agents, 2023 will be about differentiation as competition for instructions intensifies and market conditions become more challenging. Instability in the mortgage market has already sparked a drop in house prices and further delays to Conveyancing timelines – two trends which are set to continue throughout the year. The combination of a limited number of ready buyers and sellers holding out to get the best possible price for their property will only further slow transactions.

These circumstances are prompting savvy agents to introduce more choice to clients, with different methods of sale that cater to their circumstances, including the Modern Method of Auction (MMoA). Standing out as the best option to a client will mean truly understanding what they need and offering them an experience that gives them security, speed and peace of mind.

With 56-day fixed completion timescales*, MMoA provides a real benefit in terms of speed and security, protecting transactions from the climbing rate of fall throughs and the 150 day Private Treaty completion timeframes. For sellers nervous about achieving the right price for their property, auction offers the opportunity to stay in control by setting a Reserve Price.

As the market slowdown is set to impact Estate Agents’ commissions and bottom line, all eyes are turned to how income pipelines can be protected by securing new instructions. Creating a great experience is the key to winning clients. We have been innovating within online auctions for over a decade and this year is set to be an exciting leap forward as we introduce an all new buyer journey for iamsold auctions that will improve the experience for agents and consumers alike.

Auction is now being chosen for sales across the country, with more iamsold sales in the South than the North in 2022. The increased uptake across the country is thanks to more diverse types of properties succeeding at auction, including impressive properties that sit over the £1M mark.

A trend I expect to continue over the next year is a further hike in owner occupied buyers, which accounted for an average of 42 per cent of sales each month in 2022. Auction is no longer only attractive for investors, with fast secure transactions helping families get into their dream homes quicker.

As agents look ahead to 2023, it’s hopefully reassuring that we aren’t going to see a dramatic crash of the property market, but rather a gradual slowdown that will give agencies the opportunity to modernise their approach, adapt to changing market circumstances and set themselves up to be the first choice for clients, whatever the market holds.

For more information on iamproperty auctions visit: www.iamproperty.com/services/auction/.

* Jamie Cooke, Managing Director for iamproperty’s auction service iamsold