Allsop raised £32.5m at its November residential auction, with 98 lots selling under the hammer, including six units at over £1m, suggesting that the market remains active, but there is far greater caution among buyers at the moment, based on recent activity.

Allsop, which has sold £314.22m worth of residential assets through its auction since the start of the year, says that buyers from across the UK and beyond continue to target a broad range of properties, including development and income-producing investments.

Richard Adamson, partner and auctioneer at Allsop, said: “Auctions have traditionally acted as a barometer for the property market, which is something we witness time and time again. Rising interest rates and the cost-of-living crisis have had a significant impact on the market, and as a result, we’re seeing a more cautious approach from investors.

“Despite the challenging conditions, there is still a significant pool of cash buyers able and willing to transact as long as the asset in question is of high quality. We expect the ‘flight to quality’ trend to continue into the next year and are confident we’ll be able to meet that demand.”