Why buy at auction?
Buying land and property by public auction is becoming more and more popular in the UK. There are many advantages to buying through this method, primarily the speed, security and transparency it offers.
It’s a common misconception that auctions are only open to property developers, buy-to-let investors or land agents. More and more people are buying their family homes through auction, and you don’t need to be a cash buyer!
There are three main benefits to buying land or property through auction:
Security. Once the auction finishes and you’re the successful buyer, there isn’t any risk of being gazumped, a chain collapsing or the seller changing their mind.
Speed. At the end of the auction, at the fall of the gavel, contracts are exchanged between the highest bidder and the seller. Completion normally takes place 20 working days after the sale, so you’ll get your keys in no time at all!
Transparency. You can see who else is bidding! Unlike ‘best and final offers’, all bids are in the open and transparency can be assured throughout the auction.
If you’ve bought land or property before, chances are this was done by ‘private treaty’. It is the way most estate and land agents sell property and land and is often called ‘the open market’. In this situation, you arrange a visit, if you like what you see you submit an offer to the seller and, once accepted, the solicitors will work on the contract of sale and purchase until you exchange contracts with the seller and complete a short time later.
This can be a time-consuming process, often taking many months to finish. Buying at auction follows some of the familiar steps, but it is much quicker, transparent and far more secure.
All our auctions take place at a convenient venue, outside normal office hours and if you’re not able to make the auction in person, there are options to either bid online, by telephone or by proxy.
The main consideration when buying at auction is commitment. Once the gavel falls, if you’re the highest bidder, you’ve just exchanged contracts and are legally committed to complete the sale.
We have produced a useful guide to buying at auction which goes through some of the main parts of the process and we will always be on hand to answer any questions.
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