Buying a Property at Auction

Property auctions offer a number of advantages for both buyer and seller. The main advantage is that much of the anxiety and delay associated with buying and selling a property is removed, as the date of both the auction and completion of the sale are fixed and on the fall of the auctioneer’s gavel, both the buyer and the seller are contractually bound to the sale.

Buying at auction often provides an opportunity for a potential bargain as properties are usually offered at auction at a competitive ‘reserve price’, the lowest price a vendor will accept. Often this is less than it might be on the open market especially if the property is in need of renovation or if the vendor needs a quick sale.

In legal terms buying at auction is exactly the same as buying through private treaty. However the process is entirely different.

Properties for sale by auction are published online which are available approximately 4 weeks before the auction. Details of all the properties can be viewed on our website.

FSS holds regular property auctions in Harrogate, North Yorkshire. 

The auction will be filmed and streamed live on the day. Check our auction calendar for our next auction date and click the link at the top of this page to watch the live feed. 

If you intend to bid on a property you will need to register in advance by using this link. This applies whether you are bidding by phone, proxy or online. If you are the successful bidder, you will be required to forward 10% of the purchase price to our account as listed on the remote bidding form, together with the £1,000 buyers administration fee. You will then be required to forward the remaining 90% of the purchase price to the Vendor’s solicitor prior to the completion date stated.

When you have registered to bid we will give you instructions on how to bid during the auction. We will also provide you with all the relevant legal documentation so that you are in a position to proceed on auction day. 

During the auction you will be able to see our auctioneer and the lots on screen just as you would if you were in the auction room. You will be able to clearly see the latest bid and follow the bidding. 

What does the guide price mean?

Guide prices or guide ranges are not necessarily figures at which the property will sell they are only intended to be an indication. The sales prices achieved at auction may be higher or lower. The guide price list will be updated throughout the auction process so please ensure you have an updated list.

What is the Addendum?

The Addendum must always be read in connection with the general conditions of sale as it details both revisions and additional information to that contained in the catalogue. The Addendum is constantly updated and you must ensure you have an updated copy prior to bidding on any lot.

Should I inspect the property?

It is advisable to research the property and inspect it before you bid, if you are intending to buy. You can view by contacting the auction house; block viewing dates are pre-set and can be booked. At this point you should also view the property’s legal pack, which carries all the information you need about the property apart from a valuation or survey.

Do I need a survey by my lender?

This can be a difficult decision if you are unsure whether you are buying or not. If you are the successful bidder, a survey will give you a clear idea of how much you might need to spend on the property once it is yours. If you decide you require a survey it is important that this takes place as soon as possible in order to meet the auction timescales. A valuation carried out by a lender is only required should you need a mortgage. This and any other financial advice or arrangements must be organised before the auction day.

What is a reserve price?

Most properties entered into the auction have a reserve price, the lowest price the vendor will accept. This is agreed between the vendor and the auctioneer and is not disclosed to any interested parties. The reserve price is different to the guide price which is intended to be an indication and actual price achieved at auction may be higher or lower.

What do I have to pay on the day?

It is important that you have all finances ready for the day of the auction. Should you be the successful bidder, a 10% deposit will be required. (10% of your intended maximum bid or of the guide price) this will need to be sent via bank transfer within 24 hours of the auction day.

Each successful buyer will be required to pay to FSS a Buyers Administration Fee of £1,000 (including VAT) on exchange of contracts for each lot purchased.

Please note properties are not sold 'subject to contract', 'subject to finance' or 'subject to survey' when you buy at auction they are SOLD unconditionally. If you are the successful bidder you are obliged to complete the sale.

Should I insure the property and when do I gain access?

You will be responsible for insuring the property from completion of the purchase. It is wise to make arrangements in advance, however, you will not be entitled to keys or access until the sale is completed.

Can I buy a property prior to auction?

In some cases vendors will consider offers made before the auction day. If you would like to make an offer please contact the auctioneers to discuss the situation regarding the particular property.

Your offer must be unconditional and you will have to be in a position to exchange contracts and pay your deposit before the auction day.

Bidding by Telephone or Proxy

Are you interested in bidding by telephone or proxy?

We are required by law to conduct anti-money laundering checks on all those selling or buying a property. Whilst we retain responsibility for ensuring checks and any ongoing monitoring are carried out correctly, the initial checks are carried out on our behalf by Lifetime Legal who will contact you once you have agreed to instruct us in your sale or had an offer accepted on a property you wish to buy. The cost of these checks is £40 (incl. VAT), which covers the cost of obtaining relevant data and any manual checks and monitoring which might be required. This fee will need to be paid by you in advance of us publishing your property (in the case of a vendor) or issuing a memorandum of sale (in the case of a buyer), directly to Lifetime Legal, and is non-refundable.