Is Now a Good Time to Sell Your Land?
Connect UK Auctions argues that conditions in spring 2025 favour landowners thinking about selling at auction, pointing to strong auction results, an easing economic backdrop and rising demand for development sites.
The UK property auction sector had a strong 2024, raising a total of £5.5 billion compared with £4.8 billion the year before, according to Essential Information Group figures cited in the article. The number of lots sold and average prices also rose. The firm notes that auctions offer speed, transparency and competitive bidding, and suggests they can outperform private treaty sales in uncertain markets because buyers are committed once the hammer falls.
On the economy, the article points to inflation falling to 2.6% in March 2025 and an expected Bank of England cut in the base rate from 4.5% to 4.25% on 8 May 2025, with further reductions anticipated later in the year. Cheaper borrowing could make land more attractive to buyers and support prices.
Demand for development land is also highlighted. The Government's target of 1.5 million homes, including new towns of 20,000 to 60,000 homes each with an emphasis on brownfield sites near existing infrastructure, is expected to keep appetite strong. Greenfield land values rose modestly, by 0.5% in Q4 2024.
Sellers are advised to weigh a few factors:
• Location, particularly proximity to planned new towns or infrastructure • Planning status, as land with consent or aligned with government plans may achieve a premium • Timing, with rate cuts and policy initiatives potentially boosting returns
The firm concludes that, taken together, these factors make the current market an opportune moment to bring land to auction.
