Buying at Auction? The useful tips you need to know...

For many people, buying property at auction is an exciting experience that gives the opportunity for a great deal. However, in some cases it can be also be difficult journey with hidden costs and future headaches. 

With many buyers choosing to go down the auction route, in the hope of grabbing themselves a bargain - knowing some useful tips before starting the process could help to prevent some nasty surprises along the way. 

Tips for buying at auction:

•    Instruct a solicitor well in advance of the proposed auction to review and report to you on the details contained within the auction pack.  This will arm you to make a considered decision and assist with setting a realistic biding limited.

•    Have your funding arranged before auction.  Allowing your solicitor to review your lender’s requirements in advance will enable them to deal with as many of these as possible beforehand, rather than in the short 28-day window between exchange of contract and completion.

•    Continue to check the auction pack for notifications right up until the time of auction.  This includes any verbal notifications by the auctioneer at auction.  If you are worried that you may have inadvertently missed a notification, check with the auction agent before you bid. 

•    Set a limit.  It is easy to get caught up in the excitement of the auction.  Setting a limit in advance can help you from overbidding and allow you to say within your financial means.

•    Ensure you are aware of any costs you are required to pay or contribute towards.  Often, sellers insert terms within the pack to state that the successful buyer will pay for the property searches and/or contribute towards the seller’s legal expenses.  If it is not clear from the pack, request confirmation of what these costs are before auction as they may eat into your budget.

We can always help when buying at auction by reviewing and advising you on the auction pack. Just call us on 01926 491181 or email: quotations@moore-tibbits.co.uk 

Article written by: Christopher Houghton.