Have you ever thought of selling your vendors property via an auction?

  • 1 year ago
  • 1
selling your vendors property
  1. Enter any of your vendors property in our next auction and keep 100% of the commission once sold
  2. Pay absolutely no fees to enter your vendors property in our next auction
  3. Exchange and complete within 28 days on the fall of the gavel – no fall throughs
  4. Use our auction service whenever suits you with no tie ins or contractual obligations

This isn’t a new proposition, however there is still immense opportunity here for a vast number of estate agents in the market today. Fear not, as an auction house we are not looking to take away business form you. Primarily, we form a partnership.

Types of property generally instructed through partners include short lease property, run down property, probate property or property whereby the agent is about to be dis-instructed and auction becomes a viable option.

Why do people sell via auction?

Three reasons: Maximum price, speed and security.

Price – You are in full control at all times. From the reserve price to the guide price, we are here only to advise. Setting an attractive guide price instils the engagement of potential buyers. The competitive atmosphere and the variety of bidders from different sources will push up the price organically. If a property is suitable for auction- expect the sale price to reflect that.

Property Auctions are best known for selling with speed. On the fall of the gavel contracts are exchanged and completion usually 28 days after, unless special conditions apply. By following our advice and pricing the property at a keen and attractive level you can be sure of a quick sale and sometimes even a pre-auction sale. This timescale is legal and binding. Clients are attracted to the promptness of a swift completion of a sale.

Security – Imagine a sale with no possible fall throughs, gazumping or gazundering. Once the gavel falls the buyer and seller are legally bound to the sale and contracts are exchanged. Neither party can pull out. Not only this, this method of sale eliminates any long negotiation processes and seller chains.

But what properties are sold at auction, is the vendors property an option?

Many who sell at auction often achieve a higher sale price than that of a private treaty and the reason is the property is more suited to auction. If you can answer YES to any of the following then the property or land is suitable for this method of sale:

  • Does the property need refurbishment? Can it be redeveloped or extended? Does it have enough land that could potentially be used to develop on?
  • Is the property tenanted? You can sell via auction with tenants in situ and in fact, many investors look for tenanted buy to lets as this provides instant income for them.
  • Does the property have any issues? Whether structural, fire damaged, legal issues, a short lease, un-mortgageable or just that there are neighbourhood issues we can help.
  • Are you looking for a quick sale? If you’re looking to release equity fast or avoiding for closure, emigrating or re-locating, auction proves perfect for speed and certainty.
  • Have they inherited a property? Connect UK Auctions offer a bespoke property probate service.
  • Do you have a vacant or occupied commercial lot your vendor is looking to sell?
  • We also take on a variety of land including mixed use, land with planning for development and agricultural land also.

But the benefits don’t stop there…

No Fall Throughs
Once the gavel falls, your buyer is legally committed to purchasing and cannot change their mind without the penalty of losing their deposit as well as ongoing legal expenses.

Best Price
Competition is good; gathering all potential purchasers together in the same place at the same time creates a sense of urgency and wanting, so you can be rest assured the price achieved is the best you could possibly obtain.

No Re-negotiation
Once a pre-auction offer is accepted or by the fall of the gavel, the paperwork is then signed and exchange of contracts will take place at the agreed price, so there is no renegotiating or gazundering. (A legal pack is required for all potential purchasers to review prior to committing to purchasing a property).

Connect UK Auctions offer a Property and Land Auction every month of the year. With Connect Realtime© offered alongside their traditional ballroom auctions, marketing is maximised for the vendors residential, commercial or land plot. View Connect UK Auctions, Auction Partners who are already benefitting by extending their services to clients and join them today.

Join The Discussion

Compare listings

Compare

Book your free auction valuation

Fill out the form below and a member of the auction team will be in contact to arrange a free, no-obligation auction valuation.




    When would you like us to call you?

    By submitting this for you declare that you have acknowledged and agreed with our Privacy Policy

    Please add me to the mailing list

    You have a property vision.
    We have the journey to take you there.

    Get the auction catalogues delivered to your inbox the moment they are released. By joining our mailing list you will also receive property news, advice and upcoming lots before anyone else!

    By submitting this form you are agreeing to our privacy policy. To prevent further email communication from us you can unsubscribe at any time by clicking the link in the footer of our emails.

    We use Mailchimp as our marketing platform. By clicking below to subscribe, you acknowledge that your information will be transferred to Mailchimp for processing. Learn more about Mailchimp’s privacy practices here.

    Finance Enquiry



      Our in house finance team will be in touch shortly. Please click here if you wish to opt out.

      Surround yourself with those on the same mission as you.





        View legal pack

        Enter your details and we’ll email you a link to the legal pack




          By submitting this for you declare that you have acknowledged and agreed with our Privacy Policy

          Add me to the Investors mailing list
          Add me to the Auction Academy mailing list

          Make an enquiry

            By submitting this for you declare that you have acknowledged and agreed with our Privacy Policy

            Add me to the Investors mailing list
            Add me to the Auction Academy mailing list

            We would love to hear from you!

            If you have questions regarding buying or selling at auction or even have a general unanswered question, please fill out the form below and we’ll get back to you shortly, and remember, no question is too small.




              By submitting this for you declare that you have acknowledged and agreed with our Privacy Policy

              Add me to the Investors mailing list
              Add me to the Auction Academy mailing list

              terms1
              terms2
              terms3

              Buyer FAQs

              Do I need to register to bid?

              Yes – You have three options when it comes to bidding and each will require its own bidding process.

              If you are joining us in the room, we can register you on the auction day, at the auction venue. Just ensure you bring along 2x proofs of ID and proof of funds. Please call us if you are unsure on what to bring.

              What if I want to bid but can’t make it on the day?

              You can choose from two options; bid via Connect Realtime© or via Proxy/Telephone. Both registrations are swift and straightforward and will ensure your ability to bid on your chosen lot.

              What ID must I provide?

              By law we will require two proofs of ID – one photographic and the other proof of address less than three months old. Proof of funds will also be asked for at the time of registration. Without the above you will not be able to bid.

              What is a buyer’s premium?

              A buyer’s premium is payable on all property and land lots. This will be payable upon the fall of the gavel as contracts are exchanged. This will be paid at the same time as the deposit if you are the highest bidder on a lot, before leaving the auction venue. The amount payable will be specified in the lot description.

              How much is the deposit?

              The Purchaser shall pay a deposit of 5% and buyer’s premium of 2.2% inclusive (with a minimum of £5,000.00) and contracts are exchanged. The purchaser is legally bound to buy and the vendor is legally bound to sell the Property/Lot.

              Can I buy with a mortgage?

              Of course. Some clients like to arrange their mortgage valuation prior to auction day and others after. Either way, completion can be set at 42 days (6 weeks) from exchange, rather than the normal 28 days, or in fact, anywhere in between. As long as all parties are notified, your timeframe is paramount. Auction offers immense opportunity and allows one to buy, through some lenders, with only a 15% deposit.

              Can I make a pre-auction offer?

              Yes. Any offers made before the auction will always be put to the vendor. If you are really interested in a lot then of course a pre-auction offer is a good idea. Ensure you have thoroughly read the legal pack before offering and if the offer is accepted the sale will exchange before the auction and will proceed under the same, auction conditions.

              What is a Proxy Bid?

              Here you will advise a representative as to your maximum bid by completing our Proxy Bidding form and the auctioneer will bid on your behalf up to your maximum. They will always endeavour to secure the property for you, either at, or below your maximum bid if possible. If the bidding in the room exceeds your maximum, then you proxy bid would end.

              What is a Telephone Bid?

              Here you will be asked to complete a telephone bidding registration form. This will be based on a first-come, first-serve basis and a representative will bid on your instruction. You will be able to hear the auctioneer in the background and will also be able to watch the auction live in action through our live stream via Connect Realtime©. A representative will call you a few minutes before the specified lot so please ensure you are ready and waiting.

              What is Connect Realtime© Bidding?

              Connect Realtime© is our live streaming of the auction you will access via our website. Giving you the ability to bid from anywhere in the world, in real time. You will create an account with us, login, then register to bid on your chosen lot(s). Once registered, we will send over the necessary documentation for you to complete before approving your bidding. Once approved, come auction day, just login to your account and watch the auction unfold and bid on your chosen lot(s).

              What is an open house viewing?

              These viewings are scheduled in by our team and give you a chance to view the lot and fully inspect your potential purchase. You can choose to bring someone along with you, a builder, or someone who may have extensive property knowledge if you are unsure yourself. A team member will conduct the viewings so there will always be someone there if you have any questions while your there. If the viewing days have finished but there is still a lot of interested, the team will schedule a further viewing.

              What happens if I’m the highest bidder?

              In the room

              After the fall of the gavel you will be asked to sign the contracts. This will be sent to both your solicitor as well as the sellers’ solicitors.

              After providing your solicitors and personal details you will be asked to pay the deposit and buyer’s premium on the specific lot. At this point you are legally bound and the amount will be payable by debit card or bank transfer.

              Completion will usually take place 28 working days later (or as varied by the Special Conditions of Sale) under the supervision of your solicitor. As soon as the gavel falls, there is a binding contract of sale. The property is at your insurable risk from this point.

              Via Connect Realtime, Proxy or Telephone

              You will have already signed to say that you are happy for us to sign the memorandum of sale on your behalf to allow the exchange of contracts after the fall of the ‘virtual gavel.’

              After this has been done one of our team will be in touch once the auction has finished to take payment of the lot deposit and buyers’ premium. Once this has been completed contracts will be sent to your solicitor as well as the sellers with completion usually to take place 28 working days later (or as varied by the Special Conditions of Sale) under the supervision of your solicitor.

              As soon as the hammer falls there is a binding contract of sale. The property is at your insurable risk from this point.

              What makes a property un-mortgageable?

              There are a few reasons for this and the most obvious include the following:

              • Properties without a kitchen or bathroom.
              • Properties with any kind of structural defect, damp, dry or wet rot.
              • Properties close to mining works, areas of landfill, areas of recent flooding or subsidence.
              • Leasehold properties with a short lease, typically less than 70 years, or a defective lease.
              • Where there are boundary disputes or where planning applications have not been applied for correctly.
              • Derelict property or where part of the building is in severe disrepair and needs demolishing.
              • Properties of non-standard construction. Standard construction has brick or stone walls with a roof made of slate or tile, so anything that differs from this will be classed as Non-Standard.
              • Some properties with sitting tenants or regulated tenancies.
              • All properties with a value below a threshold, sometimes stated as £40,000.
              What is Due Diligence?

              This means that you have done everything you can, in terms of research, before committing to a property or land purchase. This may include viewing the property, commissioning a survey, asking a solicitor to review the legal pack etc.

              What payment methods do you accept?

              We take debit card or bank transfers.

              What happens if I cannot complete on a purchase?

              If you don’t exchange on the date set you will be given what’s called ‘Notice to Complete’ – This will last for 10 days and will incur a daily charge, of which the amount can be found in your contract. Failure to complete at all with result in a forfeit of your deposit as well as your buyer’s premium plus any shortfall once the property or land is re-auctioned and sold.

              What is auction finance?

              Auction finance is a service provided by specialist lenders to auction buyers. We have an in-house specialist who can provide advice and finance on the following:

              • Short-term finance
              • Funding for residential, commercial and land purchases
              • Funding for non-standard construction
              • All income types considered
              • Up to 70% loan-to-value
              • Monthly interest rates from 0.55% (other fees and charges apply)
              Do I need to do a survey on the property I’m interested in?

              A survey isn’t compulsory, but if you are unsure about the structure or condition of the property then you might wish to instruct a surveyor, an engineer, or a builder for some advice.

              But remember, as soon as the gavel falls there is a binding contract of sale. The property is at your insurable risk from this point.

              Bidding registration fee

              The bidding registration fee is required in order to be approved for bidding. The fee is £2,400 per lot and is deducted from your deposit upon exchange, if you are the highest bidder. If you are not the highest bidder, the bidding registration fee is refunded to you.