What is the procedure when buying property at auction?
As part of the bidding registration process, we require a pre-authorised bidding deposit.
The term 'pre-authorisation' means a hold is placed on funds in your account to the value of the bidding deposit for each lot you have registered to bid on. Whilst this hold is in place, the amount will be ring-fenced and will be unavailable to you to spend until after the hold is released.
The pre-authorised bidding deposit amount is £2,000 per lot unless the lot is guided at Nil reserve where the bidding deposit will be £500 or where an alternative amount is stated within the marketing particulars.
This pre-authorisation will automatically be processed against the debit card provided in your registration from the Monday of auction week and once this is successful you will be approved to bid.
If you are the successful bidder the bidding deposit will be taken and put towards the sale deposit/buyer’s premium. If you are unsuccessful with bidding then the hold on funds will be released. However, please be aware this may take up to 7-10 days until these are available to you which is entirely dependent on the card issuer.
Are auction bids legally binding?
At online auction, the winning bid becomes a legally binding contract soon as the auction ends. This is why property auctions offer unparalleled for property sale speed and bother buyer and seller security – with absolutely 0 risk of gazumping.
Is it worth buying property at auction?
Purchasing property can be a very worthwhile investment. If you do your research before, set yourself clear financial limits and commit to them, then you’ll find that you have a more positive experience at auction that via an estate agent.
Bidding at auction is legally binding, so if you’re the winning bidder you legally own the property immediately so there is 0 risk of gazumping. Many people find that auctions are more stress-free, faster and secure than alternative buying routes.
Can you buy a house at auction?
Property auctions don’t just sell commercial properties. At Pugh we regularly list terraced houses, city centre apartments, and detached homes perfect for first time buyers – to name only a few!
You can buy houses at auction exactly as you would find with an estate agent, and you can often find our auction properties listed on portals such as Rightmove.
What is the procedure when buying property at an online auction?
To buy property at an online auction you simply need to follow these steps: create an account, register to bid, complete identity checks, complete fund authentication, pre-authorise that we’re allowed to take a deposit if you win, then bid!
To find out how to get started, follow our more in-depth guide here.
Can you view an auction property prior to auction?
In most cases, it can be arranged for interested parties to view properties due to be auctioned before the auction date. These are often block viewings at a set date and time. All interior viewing appointments can be arranged via this website (you can book a viewing from the individual property particulars pages) or by contacting the office on 0345 505 1200.
However, it’s worth noting that sometimes it isn’t possible to arrange a viewing. But we try to provide video tours of properties on YouTube where possible in this instance.
