A Harrogate property has sold for double its guide price at auction demonstrating the strength of demand for town centre properties with development potential.
The corner terrace house on Mayfield Grove had a guide price of £150,000 when it went up for sale at the FSS Property auction at Pavilions of Harrogate in July. The hammer came down at £300,000.
Auctioneer Richard Smailes said: “It was a full room with a good atmosphere and every property sold for guide price or above with the Mayfield Grove house definitely being the star of the show.”
Auction myths
“There is still a misconception that auctions are the place to go for a bargain on a run down property when the reality is that auction vendors understand how the competitive environment of a sale room can help them achieve the best possible sale price,” Richard added.
Formerly a retail unit and maisonette, the Mayfield Grove property needs some work to bring it up to date but offers huge potential for a number of different uses, subject to planning. It stands on the corner of Mayfield Grove and Strawberry Dale Terrace within easy walking distance of the town centre and station, a prime location for buy to let investors looking for properties to develop.
A smaller two bedroom house on Mayfield Grove also exceeded its auction price, selling for £176,000. That house is already a rental property which generated returns of just under 6% based on the original guide price. It is let out on an Assured Shorthold Tenacy for £675 per calendar month until 31st March next year.
Prime location
Location was also a factor in the sale of a Grade II Listed character cottage in Wetherby which went to auction with a guide price of £300,000 and sold for £326,000.
“This is a really unique house right in the town centre, close to the river, full of character and original features and with a fascinating history as a former coaching inn,” said Richard.
“Auctions are the perfect place to sell properties like this which have a unique appeal and can often surpass expectations on price because they are such individual opportunities. Developers are by no means the only people bidding and we regularly have people coming along to buy a home they can do up themselves to live in.”
Do you have a property to sell at auction?
Throughout August FSS will be accepting new instructions ready for its next property auction on Thursday 28th September at Pavilions of Harrogate.
“If anyone is interested in finding out more about how the auction process works and whether their property might be suitable for sale by auction they can contact me direct for an informal chat,” said Richard.
“People have lots of misconceptions about selling at auction and I’m happy to share my knowledge and experience and advise on the best approach for a particular property or piece of land.”
Contact Richard on 01423 501211 or email richard.smailes@fssproperty.co.uk