GalimAI · Local investor guide

Buying property at auction in London: what's different locally

By Dror Avital, Founder of GalimAI

GalimAI · Local investor guide · Updated 2 August 2026

The national auction process (legal packs, deposits, buyer's premiums, completion timelines) is the same everywhere, but which auction houses cover London, how the local market is performing, and the local rules that affect an exit strategy are not, and those differences are worth knowing before bidding.

50%+
of London-area auction lots in 2025 were leasehold flats, according to Bradley Hall
0 years
ownership now required before starting a lease extension, after 2025 leasehold reform
3
major auction houses regularly selling London stock: Allsop, Savills Auctions and Barnett Ross

Which auction houses cover London

Allsop is the UK's largest property auction house and sells heavily across London, running both live and online sales. Savills Auctions is also a major presence, and Barnett Ross has particular strength in south-east London and Kent-facing lots, including commercial and mixed-use property. Between them, these three cover the large majority of London auction stock, though smaller regional auction houses also list occasional London lots.

Leasehold flats dominate the London auction market

London auctions are unusually leasehold-heavy: over half of residential lots sold at London-area auctions in 2025 were leasehold flats, and flat sales at auction are up roughly 80% since 2021, driven partly by landlords restructuring portfolios under tax and regulatory pressure. This matters for due diligence: lease length, ground rent terms, and service charge history need checking as carefully as the property itself.

A 2025 reform changes the maths on short-lease flats

The Leasehold and Freehold Reform Act abolished the previous two-year ownership rule that used to delay a new owner's right to extend a lease or pursue enfranchisement. Auction buyers of short-lease, often ex-council, flats can now start that process immediately after completion rather than waiting two years, which changes the economics of buying a short-lease flat at a discount and extending afterwards.

For the national auction-buying process this local guide builds on, see the UK property auction guide. For London-specific HMO conversion rules relevant to an auction-to-HMO strategy, see HMO conversion in London, and for a refurbishment-led strategy that pairs well with auction stock, see BRR in London.

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Common questions

Which auction houses sell the most property in London?

Allsop, the UK's largest property auction house, along with Savills Auctions and Barnett Ross (particularly for south-east London and commercial/mixed-use lots) cover the large majority of London auction stock.

Why are so many London auction lots leasehold flats?

Over half of London-area auction lots in 2025 were leasehold flats, with flat sales up roughly 80% since 2021, partly reflecting landlords restructuring portfolios under tax and regulatory pressure.

Do I still have to wait two years to extend a lease on an auction flat?

No. The Leasehold and Freehold Reform Act abolished the previous two-year ownership wait, so a new owner of a short-lease flat bought at auction can start a lease extension or enfranchisement claim immediately after completion.

Auction house and market details for London verified against multiple sources (auction house sites, EIG market reporting, local council pages), August 2026. This is general information, not legal or investment advice; always review the specific auction's legal pack and terms before bidding.