Buying a House at Auction

All house prices are still rising popular areas, homes are now usually already under contract by the time the estate agent’s board goes up. People should also find another source apart from the real estate agent.

Auction Basics

Auction firms always focus on unusual, hard-to-value premises like churches, commercial lots, and more with potential for change to residential property. Usually, properties that need renovation get sold through the auction. This is why, most of the time, you going to find yourself in competition with professional property developers.

To get a property at an auction requires very careful planning, full attention to details and good nerves. 

If you succeed the reward – dream investment at a good price. But if you don’t do the careful groundwork, then your bargain could turn out to be a very costly under-the-hammer horror. It is worth it to know that some superficially good looking properties go to auction because they have hidden problems like dry rot, strict planning restrictions, or other damages. These are things you should be cautious about, especially if the problem looks more costly than what you could sell the property for. 

Set Your Highest Bid.

You need to estimate the total costs of decorating repairs, surveying fees, mortgage, legal and removals, and any other expenses – and then work out how much you are willing to spend. It’s important to not only set a financial limit for yourself but to know what you can afford before trying to purchase a home through an auction. Finances can be a tricky thing, and it may be worthwhile to get a consultation from a professional, especially if you are just starting out.

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