If you are looking for a property for auction, then you should begin with identifying and locating an auction. For this, you may take the assistance of property magazines, papers and real estate agents in the area. When looking for a property for auction it is important to go through the catalogue in detail and not to rush to any conclusion. It is always important to visit an auction only when totally prepared with information, the local rates, detail of the property you are interested in, and above all, the bidding process itself.
When done, it is important to review the property because often they are in not good condition. For this, you need to contact the auctioneers to make sure the property’s condition before bidding for them. As the properties may be in poor condition and may require lot of repair and maintenance work on them, the best option is to take along an architect and builder who will review the property and suggest the steps to be taken to restore it.
This way, you will have a fair idea regarding the total cost involved in the process. But it is important that you do it fast because there is not much time period when the catalogue is published and the actual bidding takes place. Moreover, a thorough research regarding the property is essential before bidding because you will know the price of such properties in the local market.
Consult the local real estate agents to know how much such properties cost in auction. The legal angle to the process includes a legal pack which you should go through for a better and complete understanding of the legal procedures involved. You can also take the assistance of a solicitor for the purpose and query the auctioneers to know all the legal details because the valuation of the property could be affected by these.
Once everything is final, be ready to deposit the 10 per cent charges as soon as you succeed in the auction. The remaining 90 per cent has to be deposited in the next 28 days. To ensure success, a good idea is to have a dry run of the process by visiting similar auctions in the area earlier to become familiar with the entire process. Again, it is essential that you are very clear about your budget and never exceed that for having success in the bidding process.
This article is for information purposes only.
Please remember that financial investments may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.
There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.