Women bidding for success.
Why auction houses are no longer just the domain of men
As we approach International Women’s Day on March 8th, the event’s campaign theme, Inspire Inclusion, encourages us to look at sectors of the property market where women are making serious inroads. Historically, property investing in bricks and mortar had been the preserve of men. However, figures show that women now make up almost 50% of the 2.6 million Buy to Let investors in the UK, up nearly 10% since 2017 alone.
The use of property as an enabler of economic empowerment means it’s an attractive business, especially for women who may’ve previously not considered it an accessible path. At Together, we’re seeing a significant rise in the number of women buying property at auction; with an increase of 108% in women applying for auction finance in 2023, compared to 2021. This may be to buy their own home, to renovate first or move in immediately, or as investments for rental, providing an additional income stream.
Why property appeals as an investment
Buying property can be a risky investment path. For many, it can be seen as a game for seasoned and experienced investors with established portfolios. But everyone has to start somewhere – and the rise in auction as a buying path has been increasingly popular in recent years. In fact, according to Essential Information Group (EIG), property auctions saw a huge 16.6% growth in the number of lots brought to sale last year.
For the likes of property auction as a buying channel – there’s ‘no experience necessary’, but there are top tips in our blog to help you bid for success.
Auction has become a great channel for women looking to get involved in property. Prices are typically lower than buying from more traditional sources and this can often mean more accessibility for new investors or first time buyers. Plus, access to specialist auction support can remove any blockers as newbies learn the ropes. The rise in online auctions has also made the process more flexible - allowing more people to participate, as it can fit around other commitments such as work, hobbies and family.
Auction Sales Director, Amy Schofield, says, “We’ve seen a definite growth in female customers buying at auction over the last five years. Whether that’s to get on the property ladder in the first instance, secure a home in an area that they would not normally be able to afford, or something more commercially-minded like flipping it for profit or creating a portfolio of Buy to Lets.”
And, with TV and social media now providing a space for role models to inspire future would-be investors, an increasing female presence in the industry is a welcome addition. From Homes Under the Hammer’s Lucy Alexander, Martel Maxwell and Jacqui Joseph to social media stars’ Nicole Bremner and Heather Smail, there’s a plethora of information and education on how to get involved.
Taking the first step Together
Together has been supporting customers to achieve their property ambitions for 50 years. With over 15 years specialising in Auction Finance, we’ve seen thousands of customers buying at auction for various reasons, whether for personal use or to further their business aspirations.
Amy explained, “As a specialist lender, we’re able to offer greater flexibility than many of the high street banks which is important if buyers are looking to purchase non-standard buildings, or if they have complex income streams or poor credit status.”
“Many women are still being underpaid versus their male counterparts so that can obviously have an effect on affordability as well. Although being able to buy property at a lower price point, via auctions, can help with this, they also need access to flexible funding that looks at circumstances, not criteria.”
Amy’s perspective is backed up by Office for National Statistics (ONS) statistics that reveal that the median hourly pay for full-time employees was 7.7% less for women than for men in 2023, potentially resulting in it taking longer for women to save for a deposit.
Finding a finance partner that provides expertise, speed and flexibility is key – given that there are only 28 days to complete the purchase on a new home or commercial property. Together’s helped open the doors to nearly 6,000 properties bought through auction finance in the past 16 years with loans from £50,000 offered as a short term bridge ahead of longer term finance being arranged or, from the outset as a long term mortgage.
With £61.2 million raised exclusively through timed online auctions alone in 2023, according to the latest data from Auction House, the trend for hitting the auction room shows no sign of stopping.
Whether you are looking to buy a home for yourself, building out a budding Buy to Let portfolio, or investing in a property to renovate and resell for profit, check out our Auction Finance offering to see how we can help you turn your property ambitions into a reality.
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