Allsop Residential’s latest auction has defied suggestions that the housing market may be cooling. Up to 2,000 bidders attended the auction, undeterred by tax relief cuts and stamp duty increases, with the over 250 lots on offer raising in excess of £63 million.   Competition was especially fierce for those properties situated in London and the South East, while those who found the capital’s prices out of their reach still had plenty of opportunity to look further afield, pushing prices for regional stock up in the process.  

Auctioneer Gary Murphy commented: “This was an exceptional day. We were expecting the day to be strong. But the depth of demand and furious competition for many lots actually took us by surprise. It’s clear that London remains top of many investors’ lists. And whilst recent stamp duty increase may be unwelcome, these are simply an additional cost, at the end of the day. As long as the sums still work, buyers are there to do battle.   “Housing is in short supply and would-be first time buyers are finding it so difficult to put a foot on the ladder. With renting the only option, buy-to-let is increasingly attractive to investors. Buyers I have spoken to have not been fazed by the Chancellor’s attempts to cool the market with tax changes. The result is rising capital values and this has fuelled demand for development opportunities.”  

As usual, Allsop’s Residential auction offered a very wide selection of properties, both by sector and geographically. Among the highlights of the auction were a mid terrace building in Hackney offering six room accommodation with development potential that sold for £1.5 million, and a former secret bunker and site in Essex with planning permission for 31 dwellings that sold for £990,000.   Entries are now being taken for Allsop Residential’s next auction, which will take place at the Cumberland Hotel, Great Cumberland Place, London W1 on 20 July 2016. The list will close on 27 June.