A South Wales auctioneer has announced that it wants to do more work in the commercial sector.
Paul Fosh Auctions in Newport is the top auction house in Wales for residential property. It wants to increase its sales of commercial property, according to a February 2018 South Wales Argus feature.
Property auctions are a popular way to purchase residential property, particularly for property investors and buy-to-let landlords. The buy to let market has been hit by extra costs of increased stamp duty and cuts to tax relief on commercial mortgage interest payments. This has caused many landlords to diversify their portfolio by investing in commercial property.
Many investors are attracted to commercial property because of high rental yields and capital growth. Residential property auctioneers like Paul Fosh are adding more commercial property in their auctions.
Paul Fosh, the owner of the auction house, said:
“We plan to further increase the number of commercial property sales in 2018. We are also looking at a variety of ways our auctions can develop and grow to suit an ever-changing market and our increasingly discerning customers and their requirements. We have long recognised that there is a strong demand from our customers for quality commercial stock to be made available locally.”
Commercial property is now around 20% of the sales at Paul Fosh, a percentage the auctioneer wants to increase.
A mortgage broker can find commercial mortgage deals to finance commercial property purchases. As payment for property bought at an auction is due within 28 days after the auction, bridging loans are available to complete purchases, then be repaid after more long-term finance has been arranged.