Is Now a Good Time to Sell Your Land?

Posted by Connect UK Auctions on 6th May 2025 -

As of April 2025, the UK land auction market presents a compelling opportunity for sellers, bolstered by robust auction performance, evolving economic conditions, and increasing development demand.​

Auction Market Performance: A Seller’s Advantage

The UK property auction sector experienced significant growth in 2024, with total funds raised reaching £5.5 billion, marking a substantial increase from £4.8 billion in 2023 (Essential Information Group). This growth was accompanied by a rise in lots sold and average sale prices, reflecting heightened investor confidence and a competitive auction environment.​

Auctions remain a strong avenue for selling land in the UK. Their speed, transparency, and ability to attract competitive bidding make them attractive for both sellers and buyers. In uncertain markets, auctions can actually outperform private treaty sales due to the sense of urgency and commitment they create.

Economic Indicators: Interest Rates and Inflation

The economic landscape is shifting favourably for land sellers. The Bank of England is anticipated to cut interest rates from 4.5% to 4.25% on May 8, 2025, with further reductions expected by year-end. This move is in response to a decline in inflation, which fell to 2.6% in March 2025, easing pressure on borrowing costs and potentially increasing buyer activity. (Reuters, The Guardian)

Lower interest rates can enhance the attractiveness of land investments by reducing financing costs for buyers, thereby potentially increasing demand and sale prices at auctions.​

Development Demand: Government Initiatives and Housing Needs 

The UK government’s ambitious plan to deliver 1.5 million homes, including the development of new towns with 20,000 to 60,000 homes each, underscores a strong demand for development land. This initiative, focusing on brownfield sites near existing infrastructure, aims to address housing shortages and drive regional regeneration.​

Additionally, greenfield land values have seen modest growth, with a 0.5% increase in Q4 2024, reflecting greater stability in the housing market (Business South). These trends suggest a favourable environment for landowners considering auction sales.​

Strategic Considerations for Sellers

While the current market conditions are favourable, sellers should consider the following:

• Location: Land in areas targeted for development, especially near planned new towns or infrastructure projects, may attract higher interest.​
• Planning Permissions: Properties with existing planning permissions or those that align with government development plans may command premium prices.​
• Market Timing: With anticipated interest rate cuts and ongoing government initiatives, timing the sale to coincide with these developments could maximise returns.​

A Promising Time to Sell Land

Given the robust auction market performance, favourable economic indicators, and strong development demand, now appears to be an opportune time to sell land at auction in the UK. Sellers who strategically position their properties, considering location and planning factors, are well-placed to capitalise on current market dynamics.

If you have land you are interested in selling, get your free, no-obligation valuation here.