What advice would you have for somebody starting in property auctions?

[diyhelp]

I’m in the process of redeveloping my loft but conversations on the forum have got me thinking. Is there still mileage in buying properties relatively cheap at property auctions? What advice would you give to somebody thinking of going to their first property auction?

 

[Caroline Allison]

Hi,
Tips for first-time property auctions:-
1. Do some research
2. Never make the first bid
3. Work off your own sentiment on auction day
4. When someone bids against you, bid again immediately
5. Get a professional to bid for you
6. Make it clear you’d a longer settlement
Thanks!!

 

[The Mortgage Broker]

Hi,
The main advice I would offer for you when buying at auctions is to make sure you have an approval in principle in place beforehand to ensure you have a fighting chance of meeting the 28 day exchange deadline. Most quality mortgage brokers will do this for you at no cost.
Darren

 

[diyhelp]

Do you need written confirmation that you have a mortgage agreement in principle when bidding at auctions?

 

[The Mortgage Broker]

Do you need written confirmation that you have a mortgage agreement in principle when bidding at auctions?

Hi,

No you do not need confirmation of an agreement in principle. The reason for this is purely for your own peace of mind so that you know that you can obtain a mortgage (if you need one)
Darren

 

[mischa]

auction report...? can you describe the auction report and which documents add in auction report

 

[Longterminvestor]

I am looking at auctions but a little concerned I might get carried away in the bidding process - how do others control this?

 

[mischa]

bidding process..?

 

[mischa]

Hi,
The main advice I would offer for you when buying at auctions is to make sure you have an approval in principle in place beforehand to ensure you have a fighting chance of meeting the 28 day exchange deadline. Most quality mortgage brokers will do this for you at no cost.
Darren

Mortgage Broker,how to observe 28days for exchange deadlin..?

 

[Lime Auction House]

I’m in the process of redeveloping my loft but conversations on the forum have got me thinking. Is there still mileage in buying properties relatively cheap at property auctions? What advice would you give to somebody thinking of going to their first property auction?

Kash Patel here from Lime Auction House

Hope you are all well. There is always mileage in buying or selling at Auction. Do your research, stick to your budget and always read the Legal Packs. Remember, no 2 days are alike at an Auction as you could pay £150,000 for a property on a Monday, and possibly £130,000 if the same Auction happened on the Tuesday after.

 

[The Mortgage Broker]

Mortgage Broker,how to observe 28days for exchange deadlin..?

Hi Mischa,
I may be missing the point of your question - please clarify.
regards
Darren

 

[Lime Auction House]

Hi Mischa,
I may be missing the point of your question - please clarify.
regards
Darren

Do you need written confirmation that you have a mortgage agreement in principle when bidding at auctions?

No you don't. An Auction House only requires to take copies of your ID, Proof of Address and your 10% deposit. It is then your responsibility to ensure you have, or get the required balance to complete within 20-28 days.

 

[Lime Auction House]

Is anyone looking to sell anything at Auction soon?


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[Nicholas Wallwork]

Is anyone looking to sell anything at Auction soon?


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We have sites for sale but never considered an auction as figured that might be best for buying rather than selling... what is your experience in the prices achieved? Is it sometimes also a good way to maximise your sale price?

Thanks


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[Lime Auction House]

Many listings at Auction sell for above the Reserve Price.

Selling at Auction avoids time wasters and gives you completion money in as little as 4 weeks. This allows you to invest your money quickly and back into other projects.


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[Lime Auction House]

We have sites for sale but never considered an auction as figured that might be best for buying rather than selling... what is your experience in the prices achieved? Is it sometimes also a good way to maximise your sale price?

Thanks


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Are you a property developer Nicholas? Where do you work?


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[Michelle Barringer]

Are you a property developer Nicholas? Where do you work?


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Hello,
I work for Nick and would be happy to have a chat with you about the opportunity for selling at auction.

 

[Nicholas Wallwork]

Are you a property developer Nicholas? Where do you work?

Yes we are developers and investors ourselves as well and have several sites for sale at the moment as well as building out others for stock. Keen to explore the auction route as an alternative exit option...




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[Lime Auction House]

Yes we are developers and investors ourselves as well and have several sites for sale at the moment as well as building out others for stock. Keen to explore the auction route as an alternative exit option...




Posted via the Property Forum mobile app

You really do have more control selling at Auction, because we would discuss from the offset the Guide & Reserve Prices to aim for. The Reserve Price is the minimum price you would sell for, if we were to get offers under that amount we won't immediately sell, but at least we can then go back to those bidders and try and get them up to a figure you would be happy with. On the flip side of that, if it's priced well and a popular lot, several bidders can push the price up higher than the Reserve Price due to demand.

Auction Sales avoid all the time wasters, that you might get with the traditional high street Estate Agent method.

Speed is another key USP. Once the gavel/hammer goes down, most completions are done within 20 days. This is ideal for developers and investors like you so you have your money to use on the next project.


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[Nicholas Wallwork]

You really do have more control selling at Auction, because we would discuss from the offset the Guide & Reserve Prices to aim for. The Reserve Price is the minimum price you would sell for, if we were to get offers under that amount we won't immediately sell, but at least we can then go back to those bidders and try and get them up to a figure you would be happy with. On the flip side of that, if it's priced well and a popular lot, several bidders can push the price up higher than the Reserve Price due to demand.

Auction Sales avoid all the time wasters, that you might get with the traditional high street Estate Agent method.

Speed is another key USP. Once the gavel/hammer goes down, most completions are done within 20 days. This is ideal for developers and investors like you so you have your money to use on the next project.


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Sounds good, what is the rough listing cost if it doesn't sell please? As developers you need to attain as close to asking price as you can get so there is generally less movement than in private sales... so I expect quite a few wouldn't reach the reserve for us? that's just my hunch but happy to give one a try if it's not too expensive! Please PM me and we'll have a chat about which one of our sites might work best... thanks.