What is the difference between option one and option two?
Option 1
- Traditional Auction
- Immediate exchange buyer pays a 10% deposit (minimum of £3000) which comes off the purchase price
- Buyer pays an auction administration fee
- Buyer legally committed to purchase
- Seller legally committed to selling
- 28 days to complete *unless changed within the Special Conditions
Option 2
- Designed for the private residential house purchase
- Buyer places a £3000 non refundable deposit which is taken as part payment of the house price (not an additional fee)
- Buyer pays an auction administration fee
- 28 days to exchange (time for buyers to obtain a mortgage) then a further 14 days to complete
Can I view a property before the auction?
Yes you can view properties before the Auction as long as the estate agent has access to the property. You must arrange the viewings via the estate agent. IF there is a lot of interest in a property then it may have open house viewings where multiple people will view the property on the same day but be given a time slot. It is not necessary to view a property before bidding on it at auction.
How can I view the legal pack and contract before the auction?
You can request the legal pack for any property on the APA website
Can I make an offer prior to the auction?
Yes some vendors will accept offers under auction terms prior to the auction, but others will insist that it goes to the room, discuss this with your local branch.
Can I have the property surveyed before the auction?
Yes of course, via arrangements with the estate agents.
Do I need to pre- register before the Auction?
In order to place a bid, you must pre register with Agents Property Auction. Before the online Auction, you must create an account with EIG. You will then need to read and accept the terms and conditions with APA. Once you have completed the bidder registration steps Agents Property Auction will review your registration to bid.and they may need to carry out certain checks in order for you to be able to bid such as Anti Money Laundering, so it is recommended that you register in advance of the auction.
How do I register for the auction?
You can pre-register for the online auction directly on the APA website. For the physical auction, registration opens 30 minutes before the auction start time.You must be approved before you can bid in the auction.
How do I bid for a property?
Bidding at Auction doesn’t have to be daunting. To bid in person, you simply have to raise your hand to gain the auctioneer's attention when they say a price that you want to bid on your selected property. Once they have registered your first bid, they will look at you and ask if you want to increase your current bid if someone else then bids higher than you.
The online system system is simple and clear and you can bid at the click of a button. When the auction opens, you will be able to place bids in line with the pre-determined bid increment levels. Every time you submit a bid you will be clearly shown whether your bid was successful, and a full list of all bids is displayed on-screen at all times.
I can’t make it to the Auction, can I still bid?
All of our auctions are held online at the moment since Covid-19 and so you do not have to attend physically. If you cannot make the online event then you can still bid by proxy. This is where you set a maximum bid in the system and the system will automatically bid on your behalf to maintain your position as the highest bidder, up to your maximum bid amount.
Will I be able to get a mortgage on the property?
Option Two at Auction allows people to secure a mortgage on a property, as when the gavel falls, the winning bidder has an exclusive ‘right to exchange contracts’ on the property within the prescribed time frame – usually 28 days, meaning that you may be able to secure a mortgage on the property within this time.
Do I need a solicitor before the Auction?
You are making a legal commitment to purchase and it is advisable to consult a solicitor prior to this.
What happens if I’m the winning bidder?
Congratulations! You’ve just bought a property at auction. Depending if the property is either option one or two, you will either exchange contracts straight away, or it will exchange within a prescribed time frame, which will have been set out in the terms and conditions. APA will contact you to discuss the next steps and take payment of the deposit. The contract will then be signed and copies will be sent to all parties involved.
If I am a successful bidder how much deposit do I have to pay?
If the property is option one then you pay a 10% deposit, of a minimum of £3000. For option two the buyer pays a £3000 non refundable deposit. Both deposits are taken as part payment of the property.
Is there an administration fee to pay?
For the buyer there is an auction administration fee to pay on top of the purchase price of the property, this is to APA.
How do you pay the deposit?
Deposits may be paid by bank transfer or by debit card. Unfortunately cash cannot be accepted. APA will take payment of the deposit.
Can I change my mind after making a successful bid?
For option one, at the fall of the gavel exchange happens immediately and so you cannot change your mind. With option two, you pay a non refundable deposit and exchange is usually within 28 days. You could withdraw within this time however you will lose your deposit.
If I am a successful purchaser when do I have to complete the purchase and pay the balance monies?
With Option one, completion will usually take place 28 days after the Auction. With Option two it is usually 28 days to exchange then a further 14 days to complete, however exchange may take up to 56 days.