Selling at Auction
Over the summer we were busy developing the specification for our build at Austhorpe, the buy to sell project that Sam Ferrington and I were doing in East Leeds.
Just like any buy to sell project that we do, we worked with a trusted estate agent to figure out the end value of the project. We worked out what the house would be worth if we renovated it in its current configuration, then what it’d be worth with a single story extension and finally what it’d be worth with a double story extension.
We then worked with our builders to figure out the build costs for each option which then meant that we could work out which option made us the most money. However, before we decided on which option we’d choose, we also factored in other things such as build complexity, distance from home and timescales.
In this case, we also knew that the house had some appeal in its stripped out condition, especially to other developers or someone who wanted to build themselves an amazing family home in an up and coming part of Leeds.
Although we’d make more £cash developing and then selling the property ourselves, we realised that we’d be able to get a better return on our investment in a shorter timescale if we didn’t do any more work to the house and sold it at auction so that’s what we decided to do.
Through August and September, we worked with the team at Auction House to market the property. It then went up for sale on 25th October and we had 4 people in the room bidding on it. Slowly it crept up and up, finally hitting the reserve price and then ultimately going for £1k more than Sam and I had hoped for. Excellent day!
26th October 2018