Solicitors specialising in buying a property at auction

Buying property at auction is becoming increasingly popular. For example, a combination of an increase in social mobility coupled with much higher levels of home ownership have resulted in more and more people inheriting property from relatives living miles away. In such circumstances, it can prove very difficult for the owner to organise a local house sale and in particular to show any property to prospective purchasers – so selling the property swiftly at auction often fits the bill. But if you aren't familiar with auction sales, do be aware that the whole auction process, from preparation and viewing the property to the legal aspects of the sale itself,  are quite different from the normal conveyancing transaction.

However if you are looking to buy at auction, do make sure that you do your homework in advance. In particular you may want to follow the following steps:

1. Do your preparation

• Identify what sort of property and which area you are interested in. Talk to local estate agents and local people discover if the area has any problems. Check out the address on Google – what you find out may surprise you. Attend an auction or two. Get used to the unique auction atmosphere. Make sure that you don't overlook the property’s faults.
• Make sure you check the prices of similar properties
• Get a solicitor to look at the legal documents in advance

2. View the property yourself

3. Have the property surveyed and valued

This is probably the main disadvantage of buying property at auction. Surprisingly not everyone does this, on the basis that if they don't end up buying the property the price of the survey will be wasted – but it is always sensible to get a proper survey done, even if it means that you spend perhaps £1000 on a property which you will never own.

4. Sort out your finances in advances

• Amazingly many people simply fail to arrange their finances before turning up at auction.
• Make sure you get a mortgage agreed in advance – at least in principle.
• If you are considering purchasing a buy-to-let property at auction, be aware that most mortgage companies only lend on buy-to-let loan properties if they are ready to rent out to prospective tenants – which might be a problem if you are planning to buy a property that needs weeks of renovation.
• Many properties sold at auction will require modernisation or at least some redecoration – bear that cost in mind when deciding on your budget.
• Don't forget to bear in mind both stamp duty and the auctioneers’ fees.

5. Set yourself a bidding limit 

• Don't let the excitement of the auction atmosphere tempt you to exceed any budget or bidding limit you set yourself prior to the auction itself !

Contact our Auction Solicitors today

Buying or selling a house at a property auction is quite different from the normal conveyancing transaction. You need to make sure that your solicitor is used to acting in auction sales and purchases. Our solicitors deal with buying properties at auction throughout Wiltshire, Hampshire and Dorset from our Salisbury office.

For specialist Property Auction advice you can rely on, contact our team by e-mail on salisbury@bishopslaw.com or phone us on (Salisbury) 01722 422300.