Thinking of Buying a Property at Auction?
Your guide on how to buy a property at auction with Countrywide Property Auctions
Buying a Property at Auction
Unless you’re a seasoned pro, and have been in the property auction game before, buying a property at auction can seem like an overwhelming process, as well as a huge risk. At Countrywide Property Auctions we understand the reservations that some may have around buying at an auction, and have teams of experienced property auctioneers who are here to help guide you through the process every step of the way.
To help you understand the process of buying at a property auction, we have put together some information that may be useful for you to know when thinking of buying a property.
Choose a Property & Arrange a Viewing
The first thing to do, when you are thinking of buying a property at auction is to take a look at which properties are currently available. You can find available properties on our website, or you can contact our team and we can send you a copy of our latest brochure containing any available lots, as well as information about upcoming auction dates.
If you do find a property or multiple, that you are interested in, you can then arrange to view the properties you’re interested in. This will give you the opportunity to take a look around and ask any questions you may have about the property.
Once you have found your ideal auction property, you will then need to arrange for a survey to be carried out. You will need to instruct a property surveyor, who can then contact our offices and we will arrange access to the property for the survey to be carried out.
Prior to registering for the auction, you will also need to ensure you have arranged your finances for the auction property. The buyer to win a property at auction will be required to pay a 10% deposit on the day. The remaining amount will then need to be paid within the 28 days following the auction.
If you getting a mortgage for the property, it is important that you receive a mortgage offer from the lender before the auction day. Most banks and building societies will wish to instruct a surveyor to prepare a valuation report before making you a mortgage offer, so it is strongly advised that you make your mortgage application as soon as possible, once you have decided to buy a property at auction.
If you are buying a property at auction in order to rent out the property, Countrywide Property Auctions has teamed up with The Buy to Let Business. This gives you access to quick finance options whilst you arrange a more long-term finance solution. An offer in principle can usually be obtained within 24 hours of your initial enquiry, and funds can be made available within a week. For more information on this, please contact our team today.
You will receive legal packs which will contain all of terms & conditions of the sale including, title deeds, leases, office copy entries, and more. This will be made available for you to read through prior to the auction. It’s important that you read the conditions to ensure you are happy with these prior to agreeing to purchase a property, as once the gavel falls on the day of auction you agree to buy subject to all documentation included in the legal packs, regardless of whether you have chosen to read them or not. Copies of the legal packs can be viewed online or posted out to you, and will also be available to read at our offices.
Register For The Auction
Anyone wanting to bid must have registered prior to the auction. This can either be done at the registration desk in the foyer, on the day of auction, or by returning to us a completed registration form, which is available on our website and in hard copies of our catalogue.
Bidding for a Property
You are able to bid for a property before, during, and after the auction. Bids made before or after the auction will be passed on to the owners of the property, for them to make a decision on whether or not to accept your bid offer.
If you are unable to bid in person at the auction, there are telephone and proxy bidding facilities available. If you require any of these alternative facilities, the relevant forms can be downloaded from our website, which must be completed and submitted back to us prior to the lot of interest being offered.
If you are bidding in person, we ask that you bid clearly and only up to the maximum amount that you are able to afford.
Buying the Auction Property
Once the gavel is brought down, you are legally obliged to pay for the property purchased. Refusal to pay can result in legal action being taken, which is why it is important that you only bid up to the amount you can pay for the property. You must pay 10% of the amount as a deposit, which must be paid immediately either by cheque, bankers draft, or debit card. The remaining amount for the property must then be paid within 28 days following the auction.
*Please note that cash will not be accepted.
If you are interested in finding out more about our upcoming property auctions, throughout the UK, or have any questions regarding buying a property at auction, please don’t hesitate to get in touch with our teams at Countrywide Property Auctions today.