If you are
considering the sale of your property by auction, you must be able to give
vacant possession at a fixed date, unless the sale is subject to tenancies, this
is usually four weeks after the date of the auction. You will therefore need to
have access to alternative accommodation and/or storage of your furniture and
1. Consult a qualified property auctioneer (MRICS/FRICS) who will advise you if
your property is suitable to sell at auction.
2. If the auctioneer considers the property suitable, discuss the procedure,
possible sale date, whether it will be included in the sale of other properties
and viewing arrangements.
3. Always obtain a copy of the auctioneers terms of business and read them
4. The auctioneer will discuss with you the likely sale price and reserve;
the price below which you do not wish the auctioneer to sell your property at
5. At this stage you should also discuss the cost of the sale and the rate
of commission charged by the auctioneer. You may be required to pay for special
advertising or the printing of a brochure. For example, a budget estimate should
be obtained from the auctioneer detailing expenditure and confirming the limit
of your commitment in writing. You should be aware that, if your property fails
to sell, you may be required to pay certain costs incurred and this should be
clarified before the sale.
6. Instruct a solicitor who will obtain the Title Deeds and prepare the
special conditions of sale required by the auctioneer. Local Authority and Land
Registry Searches may be put in hand for the use of prospective purchasers if
requested by the auctioneers.
7. Close to the date of the sale the auctioneer will discuss with you
whether the reserve price should be adjusted, either way, to reflect current
market conditions for your property and the level of interest shown by viewings.
8. If the bidding exceeds this figure your decision to sell at auction has
been justified. If the reserve is not reached the property may still be sold
privately, sometimes immediately after the sale to someone who has expressed an
interest at the auction.
9. If your property is sold at auction the auctioneer will sign the contract
on your behalf in the saleroom and collect a deposit from the purchaser, this is
usually 10%. Depending on the terms of the contract, the remaining 90% of the
price required to complete the purchase will usually be paid within twenty-eight
days of the sale.
10. The account from the auctioneer for commission and auction expenses will
usually be received by your solicitor who will pay it subject to your approval.
After paying off other outstanding charges such as your mortgage and solicitor's
fees, your solicitor will send you the balance of the payment or transfer this
into your personal account. How to contact an auctioneer.