Auction property beware?

Historically properties went on the auction market because they could not sell on the open market. However, in current climate we are finding more and more properties are being put into auction as sellers are looking for a quick transaction.

When buying a property at auction, we would always recommend you instruct a conveyancer to review the auction pack before the auction takes place. This could save you a lot of money and heartache.

When you buy at auction, your successful bid is effectively exchange of contracts so you are committed to the purchase.

The auction completion date deadline is usually 28 days from the auction so buying where you require a mortgage may not be feasible and particularly if this is not already in place. If there is a defect with the property, the lender may not agree to proceed with the mortgage funding and you will still be bound to purchase regardless.

Once your bid is successful, you will need to instruct a conveyancer to deal with the post auction / completion requirements and the post completion arrangements, including the Stamp Duty Land Tax payment and the registration of your purchase at the Land Registry.

MCP are very experienced in this regard and please do not hesitate to contact us if you would like to discuss this - particularly before you consider purchasing a property at auction.