Cornwall’s property market has always held a special allure for buyers and investors alike. With its stunning coastlines, picturesque villages, and growing appeal as both a holiday destination and permanent residence option, the region continues to attract significant interest in 2025. However, the landscape has shifted notably from the pandemic-fuelled boom years, creating new opportunities—particularly in the auction sector.
As we move through mid-2025, auction rooms (both virtual and physical) across Cornwall are revealing fascinating patterns about where smart money is flowing. Let’s explore the current state of Cornwall’s property prices and uncover the hotspots where buyers and investors are focusing their attention at auction.
The latest data presents an interesting picture for Cornwall’s property market in 2025. Overall, average house prices have stabilised at around £281,000, showing minimal year-on-year change compared to 2024 figures. This represents a significant cooling compared to the dramatic price surges seen between 2020-2023.
Breaking this down further:
Perhaps most significantly, when adjusted for inflation, Cornwall’s real average house price has declined to £328,000 in 2025 from £362,000 in 2024—continuing a downward trend from the market’s peak in 2022-2023. This correction has created opportunities for strategic buyers, particularly at auction.
Interestingly, while purchase prices have stabilised or fallen, the rental market tells a different story. Private rents have increased by 7.8% year-on-year to £966 per month as of June 2025, creating attractive yield potential for buy-to-let investors.
Several distinct areas have emerged as auction hotspots in Cornwall this year, each with unique appeal to different buyer profiles:
The university town of Falmouth has seen particularly strong auction activity in 2025. Properties with potential for student accommodation or holiday lets are commanding significant attention. The combination of year-round rental demand from students and seasonal holiday interest creates resilient investment opportunities.
Properties within walking distance of the university campuses or with good transport links are particularly sought-after, with terraced houses and converted flats leading the charge. Recent auctions have seen competitive bidding for properties needing modernisation, with investors keen to add value through renovation.
Cornwall’s administrative centre, Truro, continues to attract professional buyers and investors seeking properties with rental potential. The city’s stable employment base, including the hospital and council offices, provides year-round rental demand.
Meanwhile, St. Austell and its surrounding areas have seen increased auction interest, particularly for properties at the lower end of the market. The regeneration efforts in the town and continued development around the Eden Project have boosted investor confidence in the area’s long-term prospects.
One auctioneer noted: “We’re seeing sustained interest in properties priced between £150,000-£250,000 in the Truro and St. Austell areas. These represent the sweet spot for investors looking for solid rental yields without the premium prices of the coastal hotspots.”
While traditionally commanding premium prices, certain segments of North Cornwall’s property market have seen increased auction activity in 2025. Newquay, in particular, has witnessed strong bidding for properties with development potential or those requiring refurbishment.
Padstow and its surrounding villages continue to attract premium buyers seeking holiday let investments, though the volume of these properties at auction remains relatively low. When they do appear, competition is fierce.
Perhaps the most interesting trend in 2025 has been the surge in auction activity around Camborne and Redruth. These historically industrial towns have seen prices remain more accessible than coastal areas, while still benefiting from Cornwall’s overall appeal and improving transport links.
Properties here typically offer stronger rental yields relative to purchase price, attracting investors from beyond Cornwall who recognise the value proposition compared to other UK regions.
Not all properties are performing equally at auction in 2025. Several distinct categories have emerged as particularly sought-after:
The price correction has created opportunities for those willing to take on projects. Properties requiring modernisation or with potential for extension are attracting serious attention at auction, particularly from developers and experienced investors.
One successful bidder at a recent Town and Country Property Auction commented: “With building costs stabilising and property prices cooling, the numbers now work again for renovation projects. The margin for adding value is there if you choose the right property in the right location.”
Despite regulatory changes affecting the holiday let sector, properties with established holiday rental histories or clear potential continue to perform well. Locations with year-round appeal are particularly valued, as investors seek to maximise occupancy beyond the traditional summer season.
Former shops with accommodation above, particularly in town centres with conversion potential, are attracting significant interest. The shift toward remote working and the challenges facing traditional retail have opened opportunities for creative repurposing of these properties.
Plots with existing planning permission, particularly for single dwellings or small developments, have seen competitive bidding at auction. The certainty of planning approval reduces risk for buyers and allows for more confident bidding.
Several factors explain the increased popularity of property auctions in Cornwall this year:
You can explore current auction opportunities across Cornwall at Town and Country Property Auctions.
Several underlying factors are influencing where buyers are focusing their attention at auction:
With private rents increasing by 7.8% year-on-year while purchase prices have stabilised, yield calculations have improved for investors. Areas with strong rental demand but moderate purchase prices—such as Camborne, Redruth, and parts of St. Austell—offer particularly attractive yields.
Ongoing and planned infrastructure developments are influencing buyer behaviour. Areas benefiting from improved transport links or regeneration funding are seeing increased interest at auction.
The pandemic-driven shift toward remote and hybrid working continues to influence the market in 2025. Properties offering good connectivity and space for home working remain in demand, with buyers willing to consider locations further from traditional employment centres.
Cornwall’s tourism sector has evolved post-pandemic, with longer stays and year-round visits becoming more common. This has influenced which properties appeal to holiday let investors, with greater emphasis on versatile accommodations suitable for different seasons.
For those considering entering Cornwall’s auction market this year:
You can view properties coming to auction soon at Town and Country Property Auctions Cornwall.
As we move through the second half of 2025, several factors suggest Cornwall’s auction market will remain active:
While Cornwall’s property market has moderated from its pandemic peaks, auction activity demonstrates continued confidence in the region’s fundamental appeal. The shift from a seller’s to a more balanced market has created opportunities for well-prepared buyers willing to act decisively.
Whether you’re seeking a residential property, holiday let, or development opportunity, Cornwall’s auction market in 2025 offers interesting possibilities across the county. Just be sure to do your homework on specific locations and property types before raising your paddle.
For more information on upcoming auctions and to register your interest, visit Town and Country Property Auctions Cornwall.
Posted By admin on October 3rd, 2025 in Blog