1: House auctions - source future auction property
House auctions are growing in popularity in the UK. To buy property at auction, start by identifying lots of interest and contacting the auction house for details—ideally 2-3 weeks before the auction. We aim to add properties to our database within 1-2 days of the catalogue release.
Allow at least 10 days for due diligence, including viewing the property, reviewing the legal pack, arranging finance, asking the auctioneer for additional details, and registering to bid.
2: Viewing the property
Call the auction house to find out about viewing arrangements. The auctioneer will either take a deposit for the keys and allow you to view the property unaccompanied or they will organise for a local agent to show you around. There might also be Virtual Tours available on the auctioneers' websites, if you're unable to visit in person.
3: Register interest with the auctioneer
Once you have viewed the property, register your interest with the auctioneers to ensure you are kept up to date regarding the property, and make sure you register for the legal pack. Ask the auctioneer to contact you should any of the property details change or if the property is sold prior to the auction or if it has been withdrawn.
4: Due diligence and legal packs
Request the legal pack from the auctioneer as soon as available to allow time for due diligence.
Buying at auction is different from buying through an estate agent. The legal pack, prepared by the seller's solicitor, includes important documents like special conditions of sale, title deeds, and searches. We recommend getting legal advice to review these documents thoroughly.
Before the auction, check with the auctioneer and the legal pack for any additional buyer’s fees, such as administration charges, reservation fees, or buyer premiums. These costs are payable on completion, but stamp duty and taxes are not included. Make sure to verify all fees in the Special Conditions of Sale.
If you're the winning bidder, the auction team will contact you for the deposit and any additional fees. Check which payment methods the auction house accepts before the auction.
5: Finances
Determine your maximum bid by factoring in costs like repairs, solicitor fees, surveys, mortgage, removal charges, and furnishings. Add these to the amount you’ll need to borrow.
If you win, you’ll need to pay a 10% deposit immediately, subject to a minimum fee, plus any other fees.
Ensure you have financing (like a mortgage) secured before bidding, as a survey is often required. Completion is usually 20 working days after the auction—check the special conditions for any changes.
Note: The guide price excludes additional fees like buyer’s contract fees, stamp duty, VAT, and legal costs. Check the Auction Legal Packs for full details.
To reiterate, Always check the Legal Pack and Conditions of Sale to see if a Buyer’s Premium applies, as this means extra costs for you. If unsure, contact the auctioneer or ask your solicitor for clarification.
6: AML checks and Buyer's I.D.
Under the Money Laundering Regulations 2017, part of registering to bid is to carry out AML checks (anti money laundering) that are legally required before you can be approved as a bidder. You may be required to complete a remote verification check. To find out which identification documents might be required, you can view on the Government website.
7: Bidding: live streamed auctions
To bid on a property, you must register with the auction house before the auction. Registration usually opens 5-7 days prior, and the approval process may take a few days, so allow enough time.
Many auctioneers now offer live-streamed auctions (remote bidding). Contact the auctioneer to check available options, such as:
- Telephone Bidding: The auction team contacts you to place bids over the phone. If contact is lost, they’ll bid on your behalf up to your maximum bid.
- Proxy Bidding: The auction team bids for you on auction day.
- Internet Bidding: Once registered and paid, you can bid alongside the live stream.
8: Bidding: in the auction room
If attending a live auction, arrive early to hear any updates, like price changes or withdrawn lots. Call the day before to confirm the start time and avoid a wasted trip.
When your lot comes up, confirm the address before bidding. You may be given a card to wave at the auctioneer, or simply raise your hand.
If someone bids higher, the auctioneer will return to you for a chance to bid again. They’ll announce "first, second, third and final time—sold!" Stick to your max price to avoid overbidding.
Telephone and proxy bidding are usually available, but ask about internet bidding.
9: Successful bidder
A property typically has a reserve price. If your bid meets or exceeds it, the vendor is legally bound to sell to you.
If you win, the auction team will contact you during the auction to arrange the deposit. Once received, you’ll get a Memorandum of Sale with any special conditions.
Auctioneers will guide you on the next steps, but it's a good idea to ask about them before the auction to be fully prepared.
10: Insurance
Once the gavel comes down the property becomes your responsibility. Again, the auction house or your solicitor should be able to advise you as to what insurance needs to be arranged from the get go.
11: Balance of payments
The balance of payment usually needs to be transferred within 28 days of the auction or the timescale set by the vendor. Remember, if this is not achieved you will forfeit your 10% deposit.
A GUIDE PRICE is an indication of the seller’s current minimum acceptable price at auction. The guide price or range of guide prices is given to assist consumers in deciding whether or not to pursue a purchase. It is usual, but not always the case, that a provisional reserve range is agreed between the seller and the auctioneer at the start of marketing. As the reserve is not fixed at this stage and can be adjusted by the seller at any time up to the day of the auction in the light of interest shown during the marketing period, a guide price is issued. This guide price can be shown in the form of a minimum and maximum price range within which an acceptable sale price (reserve) would fall, or as a single price figure within 10% of which the minimum acceptable price (reserve) would fall. A guide price is different to a reserve price (see separate definition). Both the guide price and the reserve price can be subject to change up to and including the day of the auction.