If you’ve ever conventionally bought a property, you’ll know all the minor details that need to be inspected and assessed before you finalize anything. It can seem like a stressful situation but being prepared and organised can help you greatly.
The same is true for buying property at an auction; although, not everybody is familiar with how this is done, which is why Close Brothers is here to present some advice on the best ways to buy property this way.
Get Legal Representation
Auctioning isn’t always straightforward and it could be a sensible idea to hire a lawyer to handle any potential disputes that arise during the purchase.
Of course, there are legal documents that will need to be scrutinized as well, and, assuming you don’t have a legal background, you’ll want somebody with the appropriate qualifications and expertise to do this.
When you’re buying a property through an auction, this is something we’d always advise as it takes the stress out of it for you knowing somebody extremely capable is handling the gritty parts of the transaction.
Have a Property Survey Conducted
While everything can seem fine on the face of it, particularly to those who aren’t 100% familiar with what minor details to look for, it can be challenging to understand exactly what needs to be examined.
Similarly for properties not listed on an auction, you should have the property surveyed before making an offer.
Things like mold, Japanese knotweed, the roof, and woodwork are all examined by property surveyors to determine whether the price you’re paying for a property is fair and that you’re not being ripped off by something you haven’t accounted for.
Have Everything In Order
You’ll be asked to place a deposit that secures your transaction when you successfully bid for it either before or during an auction.
If you don’t complete the necessary paperwork within a 4-week window after, you’ll probably lose your deposit and no longer be able to purchase the property.
The amount of money we’re talking about when it comes to a loan could be anywhere over £10,000 so it’s vital that you have everything completed and aren’t left with a huge financial hole in your pocket.
Double-Check Everything
We actively encourage you to read through every piece of documentation you’re given.
We understand that this seems a laborious and time-consuming task, so you can ask your lawyer, as we previously stated, to read through this for you as they’ll have an understanding of what should and shouldn’t be in there.
However, it’s good for you to have some knowledge on the subject too. Knowing at least the basics
Close Brothers has years of experience when it comes to finance and property. Get in touch with our team today to find out more.