)
)
)
)
If you’re clued up on how auctions work, then you could pick up a real bargain when a house you’re interested in goes under the hammer. There are some key differences in the auction conveyancing process when you decide to go down this route though, when compared to a standard purchase. Find out more about these differences below.
Exchanging contracts when buying a house at auction
The biggest difference with auction properties is that as soon as you’re successful with a bid and the hammer falls, you enter into a legally binding contract. When you’re not buying at auction, this only becomes the case once written contracts have been drawn up and exchanged.
When should you instruct a conveyancer?
When buying at auction, it’s always a good idea to instruct a conveyancer or solicitor ahead of the auction. You can then give the legal documentation, or auction pack on the house you’re interested in, to a conveyancer to check prior to bidding. By instructing a conveyancer before the auction takes place, you have greater peace of mind that an expert has reviewed the legal intricacies.
What is included in the auction pack?
The auction pack can include:
Official copies of the Title Plan including title deeds, Land Registry documents and boundary information.
Any results from conveyancing searches if carried out, including Local Authority and Environmental Searches
Property information form
Fixtures and fittings form
Special conditions of sale
Property certificates, such as an energy performance certificate, or planning permissions
Any other relevant documents, such as leasehold documents.
What is the role of a conveyancer for auction properties?
Your conveyancer's role includes reviewing legal documents (such as the auction pack) and identifying potential risks. They will also check that you are clear with all the terms and that the filings are in order, offering peace of mind to buyers and sellers during the high-pressure environment of property auctions. Below are the ways a conveyancer can help to ensure a smooth auction process:
Expert guidance: they provide expert guidance, helping you navigate the complexities of auction property sales with confidence.
Review and preparation: they will conduct a thorough review of the auction pack, ensure all legal documents are in order and prepare a comprehensive pre-auction report.
Issue reporting: if there are any issues within the legal pack, they will report them clearly, offering you peace of mind on auction day.
Regular updates: throughout the process, they will keep you and other stakeholders regularly updated, ensuring everyone is informed and on the same page.
Streamlined process: a conveyancer will simplify and condense the process as much as possible, providing clear, relevant advice.
Efficient completion: finally, they'll ensure that your purchase or sale is completed accurately and efficiently, aligning with the urgency often associated with property auctions.
Buying or selling at auction largely differs to the standard conveyancing process. Where your conveyancer would usually request and obtain things that you need, such as property searches, title deeds, special conditions of sale and outstanding liabilities, every house being sold at auction should already have these included within the auction pack. If they don’t have all of these documents, it’s likely that strict contract clauses have been written in to exclude any liability.
At auction, you’re effectively entering into the legal contract at the offer stage, therefore it’s important that you don’t jump into an auction without professional advice and that you have a conveyancer who can help you to understand all the legal intricacies, before you're legally tied into the purchase.
)
)
)
)
)
)
