Stability amid uncertainty: why the 2026 property auction market continues to thrive

Success against the odds

Across the 10 Savills auctions held during the first six months of the year, the sales success rate reached 76%, closely matching the average achieved over the previous decade. A particularly strong first quarter helped deliver the sale of 1,591 lots, generating more than £470 million worth of transactions.

These results highlight one of the auction market's greatest strengths. When confidence is in short supply, the transparency, speed and certainty offered by auctions become even more valuable, providing buyers and sellers with a reliable route to transact.

A market as diverse as ever

The breadth of stock offered through auction remained one of the sector's defining characteristics.

At the higher end of the market, 67 lots sold for more than £1 million, ranging from a 162,000 sq ft multi-let industrial estate in Bangor to a three-storey mews house in Belgravia. At the other end of the spectrum, 382 lots sold for less than £100,000, including a one-bedroom flat in Aberdeen that achieved £36,000 and a basement flat in Penzance that sold for £90,000. This diversity continues to attract a broad range of buyers, from first-time investors through to institutions.

More than just the fall of the hammer

The results also underline that auctions offer multiple routes to a successful sale.

While 59% of lots sold under the hammer, almost 10% sold prior to auction and a further 7.4% completed afterwards. Pre-auction sales were particularly prominent ahead of the 17 March auction, where they accounted for more than 20% of transactions as vendors looked to reduce exposure to increasing market uncertainty.

As the year progressed, post-auction sales became slightly more common, reflecting a more selective buyer pool. Together, these trends demonstrate the flexibility of the auction process and its ability to adapt to changing market conditions.

Competition continues to drive pricing

Where demand was strongest, competition continued to support pricing. Properties sold under the hammer achieved average premiums of 23.5% above guide prices and 15.2% above reserve prices. Meanwhile, investors purchasing fully let assets at auction secured average gross yields of 10.8%. Those buying post-auction often benefited from modest discounts to reserve prices, resulting in an average gross yield of 12.8%, demonstrating that attractive opportunities remained available throughout the sales process.

What the asset classes tell us

Houses continued to attract the strongest demand, generating the highest bidder participation and sales rates. Flats faced a more selective market, reflecting some of the ongoing pressures on residential investors, although performance remained resilient.

Commercial property also performed strongly, attracting an average of 7.3 bids per lot and achieving a success rate of more than 70%. While retail and mixed-use assets remain auction staples, larger office and industrial opportunities are becoming an increasingly important part of the market.

Looking ahead

If the first half of 2026 has been defined by uncertainty, the second half looks unlikely to be dramatically different. Geopolitical tensions remain unresolved, while expectations for lower interest rates continue to be pushed further into the future. Domestically, investors are still waiting for greater clarity on the new government's longer-term policy agenda.

Yet if the past six months have demonstrated anything, it is the value of certainty in uncertain times. For sellers, auctions continue to provide an effective route to market. For buyers, they offer access to opportunities, competitive pricing and attractive returns.

In a market searching for clarity, the auction sector has once again proved its worth.

Further information

Contact Robin Howeson