Buying at auction Research…Research…Research
The thrill of buying at auction can get you caught up in the moment but never forget to do your own due diligence as this is the most important factor when purchasing at auction and the one step that many forget.
Few things to remember:
- You are committed: when the hammer goes down you are legally committed to purchase and so you need to research prior to auction.
- Troublesome properties – often we find that properties in auctions have some issues with them. So you need to be aware of these before you buy they could be just cosmetic but they could be structural.
- Viewing days – the fun starts here, try to get to one of the first viewings to give yourself enough time to research and possibly get a builder/ survey round to the next viewing if needed.
- Legal pack – should you send it to the solicitor? yes
–Ensure you look at the special conditions – e.g. how many days do you have to complete?
– Extras – you often you have to reimburse the sellers search fees and legal fees
– is there anything missing from the legal pack?
- Are you going to purchase with tenants? If so check out the current AST and meet the tenants
- Finances – normally you have 28days to complete, ensure that you have you everything lined up. Failing to complete is simply not an option!
We have given you a lot to think about, why not get yourself to the next auction and see what the fuss is all about!