Detailed Legal Packs are then produced by your solicitor and include details of title, legal searches, property seller’s information, fixtures and fittings, planning permissions and any Special Conditions of Sale that need to be included in the contract. A full Legal Pack will give buyers more confidence to bid on your property at auction and they are available to all interested purchasers before the auction.
Full details of the property will be prepared by one of the Property Auctions team for your approval, including plans and photographs for inclusion in the Property Auction catalogue.
An intense period of marketing then takes place four weeks prior to the auction through national, regional and local advertising, on our website and on Rightmove and EIG, the UK’s largest property auction website.
Once marketing has begun, we will undertake viewings up to the date of the auction. For more popular lots these may be conducted as block viewings.
Once we have ascertained the level of interest from the viewings and marketing, we will discuss a reserve price with you. Most properties are sold subject to a ‘reserve’ which is the minimum price at which the auctioneer will sell the property as agreed with you. The amount of the reserve is not normally disclosed to potential buyers. It is important to note that the level of the reserve should not be set above the lower end of the guide price.
On the day of the auction, if the bidding reaches the reserve price or above, the fall of the auctioneer’s hammer creates a legally binding contract. The auctioneer’s clerk will sign the Sale Memorandum (on your behalf) and collect the deposit from the buyer.
If the property does not reach the reserve, the auctioneer will speak to you after the sale to discuss any post-sale interest as properties often receive offers after the auction.
Once the deposit funds have been received, we deduct our sales commission which is typically 1.5% - 2% plus VAT of the sale price plus any outstanding expenses; the balance is sent to your solicitors together with a copy of the signed Sale Memorandum. Your solicitors will then deal with completion and handling of the balance of the purchase price. Completion normally takes place 20 working days after the auction but this can be sooner or later depending on the seller’s requirements.
When your property sells at the auction you should notify your solicitor immediately so that they are aware of the situation. If the property fails to sell, then we will continue to market the property and contact interested parties to see if a sale can be agreed post-auction. If a sale is not agreed we would be pleased to discuss alternative ways of achieving a successful sale of the property for you.
The entire process of selling a property at auction is expedient and transparent and within a precise timeframe which provides clear parameters for all parties involved.