At property auctions, ‘off the wall bidding’ is where an auctioneer invents a bid to drive bids in the room higher towards the reserve price. It sounds bad but it isn’t. If the reserve price isn’t met then the bidder, being pushed higher, could not have bought the property, anyway.
Andy Thompson from SDL Auctions
When it comes to property auctions, one thing you must pay close attention to is the legal pack. If you don’t know what you are signing up for then you might be in for a nasty surprise which could come in the form of additional costs, a shorter completion period or a whole host of […]
At a property auction, there is a guide price and a reserve price. A guide price is what a buyer will see in the auction catalogue and is a guide to the value of the sale. The reserve price is set by the seller and represents the minimum that they are willing to sell for.
The process of buying a house at a property auction has three distinct phases. Firstly there is the preparation period after the catalogue has come out. Second is the day of the auction, itself. And, third is the completion period after which the property and the keys are yours.
Before you buy a house at auction you will need to do your due diligence. This means you need to have seen the house you want to buy (preferably more than once) and you will need to understand what is being said in the legal pack, particularly around fees.
The first in a new series on property auctions with Andy Thompson From SDL Auctions. Auctions can be fantastic places to secure BMV deals but for the newcomer, they can be very daunting places. The trick is to take your time and learn the ropes before you commit to pulling out your chequebook.