Buying a property at auction is popular in the UK, and over the years more and more investors decide to buy their next property through an auction.
A few tips that will help you:
- Find an offer. Auctions for the sale of property are held throughout the UK, but they begin to advertise only four weeks before the start of the auction. Information can be found in both local and national publications, but journalists advise paying special attention to specialized newspapers.
- Find a place. The best lots can be offered at auctions outside the region of their location. For example, half of the housing that is sold at London property auctions is located outside the capital.
- Prepare the money. Perhaps the most important thing is that you should have enough funds by the day of the auction to purchase property. You will need at least a deposit amount so that you can place bets already on your bank account. The deposit is charged in the morning on the day of the auction and is usually about 10% of the original price of the property. You also need a sufficient amount in the account or a mortgage already agreed with the bank for the remaining part of the value of the house, proof of which you must present in the morning on the day of the auction.
Some reasons for the popularity of auctions
- If you want to become a happy buyer of real estate in the UK as soon as possible, then you definitely need to attend the auction, because there you will be able to get your property in 28 days. If you go the traditional way, then it may take you about 6 months due to the processing of various documents.
- At auction, you can buy property much cheaper, which is why auctions are so popular in the UK. It is sold cheaper for a number of reasons, but also the reason may be the usual desire of the seller to sell his property as quickly as possible, and therefore lowers the price.
Also in UK, various large legal entities and ministries own a large amount of real estate and they sell it through auctions.
Another factor of the low price is that the purchased property requires repair, painting, which is a plus for the buyer, because this way he can realize his ideas.