A guide to your first property auction: sellers26.08.2016
Property auctions are fast-paced, exciting events that are bound to get your heart racing, whether you’re buying, selling or just along for the ride. Whilst for many this is a thrilling experience that is nothing but enjoyable, this more often than not comes with some inevitable nerves and trepidation. If this is your first time selling at auction we want to put your mind at rest, and give you all the information you need to make your first time auction experience nothing but fun.
Selling at auction offers so many benefits. It’s much quicker, there’s much less awkward negotiating involved, everything happens out in the open and you’re guaranteed to hit your property’s market price.
Just because you’re selling, this doesn’t mean you won’t have to spend money. Make sure you know the costs that you are responsible for before making any commitments. Usually, sellers will be expected to pay legal costs for their solicitor to prepare the legal pack, auction entry fees in advance, auctioneer’s commissions on completion. It is possible for some of the costs to be recouped from the buyer at completion but this will depend on the circumstance. Sometimes you’ll have to pay for a market appraisal or valuation of your property as well; this depends on the auction house, Auction House Sussex and Austin Gray will do it for free.
This may seem obvious, but prepare yourself and your property for viewings. Marketing of the property can only go so far if it’s not presented well. You’ll also need to get ready to accommodate viewers. You’ll always get at least 24 hours’ notice of any viewings that are set to take place and you’ll need to make sure you’re out of the property at viewing times. Usually, when selling by auction, viewings are held by way of block viewings which means there will be a 20 to 30-minute window for as many people as possible to view the property. It also gives you or your tenant more certainty as to when the viewings are going to occur.
Know your property
It always pays to arm yourself with knowledge. Manage expectations by being sure of your property’s suitability for auction. This will help you to set the guide and reserve prices, as well as ease your nerves about whether your property will sell on the day. This will also help with choosing an auctioneer and being able to market your property effectively.
Choosing an auctioneer
Choosing the right auction house is essential to your success at auction. It may be tempting to pick an auction house who offers you the lowest fees, but there are so many other things to look out for. Do some research and look at the properties they usually sell. Bear in mind the way these are marketed and if the properties match yours. Also look out for credentials, valuations and the auctioneer themselves. All of these make a massive difference to the amount of success you’ll achieve at auction. To make your decision easier, we’ve written a piece on choosing an auction house already so you can be sure you won’t miss anything.
This might seem like another obvious one, but you need to be 100% positive that you do want to sell you property. The fall of the gavel is legally binding, so once that winning bid is in you can’t change your mind. Because auctions happen at such a fast pace make sure you are happy with your decision to sell long before the day itself. You also need to be sure you’re ready to move as soon as possible; once the property is sold, you usually only have a month to finalise everything.
Austin Gray is an established, multi-disciplined firm that has been holding property auctions in Sussex for over 30 years. We have teamed up with the Auction House group to expand our coverage throughout Sussex and offer our clients national coverage when they decide to instruct us. For more information about our property auctions don’t hesitate to phone us on 01273 201980 or email us at email@example.com