Frequently Asked Questions?
Whether you have queries relating to selling, or buying at online property auctions, our Frequently Asked Questions section has been created to help you find the answer.
What is an Online Property Auction?
Online property auctions mean that the property lot is exclusively auctioned on our virtual platform. When the auction is open, you can place bids 24/7 until the end of the auction period. Essentially, you can get involved in property auctions wherever you have internet access.
What is an Unconditional Auction Sale?
Unconditional online auctions (known as a traditional auction) is where the exchange of contracts happens immediately to the highest bidder when the online auction time period ends (subject to the reserve price having been me). The successful bidder will be legally bound to purchase the property, and completion is normally set to 28 days from the fall of the gavel.
What is a Reserve Price?
All properties are valued prior to listing. The Reserve Price is the minimum lowest price the owner of the owner of the property is willing to accept. However, please be aware that his figure may not always be disclosed prior to or during an auction.
What is a Guide Price?
Each property listed has a Guide Price which is used to represent the market value of the property or give all potential buyers an idea how much the owner hopes to achieve. However, how much the property will sell for, is solely dependent on how the bidding goes in the auction.
What is a Legal Pack?
We will have available on request the legal pack on the property. This pack is legal information compiled by the seller’s solicitor and contains copies of the Title Deeds, Special Conditions of Sale, Land Registry, and other important documents.
What is the Starting Bid?
The starting bid (or known as the opening bid) is the recommended price to start the bidding.
What are Maximum Bids?
Instead of placing each bid individually and manually, you can alternatively choose to set a Maximum Bid. This Max Bid represents the highest amount that you’re willing to pay. As a result, our system will automatically place incremented bids on your behalf up to the maximum amount you have set. Be assured maximum bid’s cannot be seen by any other user, so this feature is useful to maintain your position as the highest bidder, as the system will always place the lowest bid necessary and never go higher than your max bid.
What is the minimum default bid amount?
The default amount for the minimum bid is £1,000. This means that you will only be able to bid a minimum increment of £1,000 above the current bid amount.
What happens when I have been out-bid?
Email notifications are sent to you when you are the highest bidder and when you have been out-bid during an auction.
Will my personal details be visible when I bid?
No, your name and any details will remain anonymous to other bidders throughout the auction, and after the auction has finished.
What is Time Extension Periods?
In a timed online auction, if a user attempts to place a bid late as possible in order to try exceed the current highest bid just before the auction ends, then our system will extend the auction end time for a short period for the purpose of giving other bidders time to counteract this practice of auction sniping.
Can I make a quick offer prior or during the auction?
Yes, we will consider a Quick Offer prior to the auction beginning or in some cases during the auction. To do this, you must manually submit the quick offer form for our consideration. Please note, if the quick offer is accepted, then this will be subject to an unconditional contract and the reservation fee paid in full to secure the property and take it off the market.
Can I arrange for a Property Viewing?
We aim to provide a virtual video tour of the property on each listing page. However, if you would like to arrange a viewing for a particular property, contact us to request this. Viewing availability if any will vary for each property.
What should I know about due diligence?
Yes, we urge all potential buyers to examine all legal documentation carefully and to seek legal advice. An unconditional sale at auction means that the successful bidder is legally obliged to complete the purchase. Thus, it is important that you have done all your legal due diligence or ask over your solicitor to look through this paperwork before the auction.
Can I have the property surveyed before the auction?
Yes, if you’re interested in a property, you can have surveyed independently before the auction. However, you must request your surveyor to contact us to arrange this.
What happens if I win the auction?
If you successfully win the property auction as the highest bidder, then you are bound by the Terms And Conditions Of The Sale from when the auction period ends. Please be aware, pulling out of the sale after this could result in huge after costs.
Are there any further costs to pay in addition to the sale price?
Yes, if you win the auction, you will be required to pay the 10% deposit reservation fee (subject to a minimum of £5,000) along with a non-refundable Buyer’s Fee.
What Is a Reservation Fee?
The reservation fee is a non-refundable 10% deposit, which must be paid soon after the auction ends to officially reserve the property and secure the exclusivity period, during which time you can finalise any mortgage you require. Please note, this 10% deposit reservation fee contributes towards the agreed purchase price and is subject to a minimum of £5,000. Therefore, please be sure to have the monies accessible before bidding at auction.
What Is a Buyer’s Fee?
The Buyer’s Fee premium refers to a percentage additional charge on the winning bid at auction, which must be paid by the successful winning bidder (buyer). This premium goes directly to the auctioneer and is charged to cover administrative expenses.
Do I need to pre-register to bid?
Yes, you must register and be approved to bid before you can place offers in any of our online auctions. First, you will need to create an account with us at Belmont Property Auctions. Once your account is created, we will send you a secure link to upload identification and confirm all of your security details in order to verify your account. Please wait during the process until your account approved to bid.
What ID do I need?
In order to meet the Anti-Money Laundering Regulations, Belmont Property Auctions require all potential bidders to provide proof of identity and residency before bidding, just like with any property sale. To have your account verified and be ‘Approved to Bid’, we will require Photographic ID such as a current signed passport or photo card driving licence and Proof of Residency such as a recent utility bill or mortgage statement etc.
Can I retract my bid?
By placing a bid, you’re agreeing to buy at the bid amount if you win the auction. However, in many cases the answer is yes, you can retract your bid some time prior to the auction end period and the announced complete. Please contact us directly to give you the best chance of doing this. However, please also keep in mind that the retraction of one bid does not revive any previous bid.
How do I receive a property valuation?
You can receive a free property valuation and auction appraisal anytime. Please call us on 01292 437045 or send an email with your contact information. Our expert team will discuss the likely value of your property and then provide you with a free valuation of your property in the subsequent days.
How do I sell a property at auction?
Our online property auctions are an exceptional way to sell your property quickly and give you the best opportunity to get the maximum possible sale price. We offer all types of property auction including land, residential properties and commercial premises. Please call us now on 01292 437045 for a FREE property appraisal.
How long does it take to sell my property?
Auction is the quickest way to sell your property. The length of auction (the dates and end period) is within your control and final decision. If you have a time-frame in mind, then please let us know so that we can advise the best method of sale for you. When selling by unconditional auction, you can expect to complete the sale in as little as 28 days after the auction ends.
When will my property be listed before the auction?
On average, properties will be listed 4 to 6 weeks before the auction date. This allows the property listing to be viewed and put to market for a before the auction.
How much will it cost to sell my property at auction?
It is FREE to list your property for auction with us and if the property does not sell, you still don’t pay anything. Selling by method of buyer premium also means no seller fees, but the buyer has to pay an additional fee instead.
Are there any other costs to pay?
Although we do not charge any selling fee, please keep in mind you will most likely still have solicitor fees to prepare the legal pack for your property, and after the property is sold for the conveyance of the sale.
Do some property lots fail to sell at auction?
Yes, if a property doesn’t sell before or during the auction, this will mainly be due to the set reserve price is not met during the bidding process. After the auction, we will actively call all interested parties on your behalf, and we will continue to market the unsold property. Any sale agreed during this period after the auction, be assured it will be carried out under auction conditions.
Can I set the price I am willing to sell at?
Yes, all properties entered into our auction will have a reserve price set. You have the decision over setting the Reserve Price for your property at auction. Whatever figure you set will be kept fully confidential between us. This means your property will be subject to the set reserve price, and this figure will be the minimum price the property can sell for at auction. In other words, if the property fails to reach its reserve during auction, then it will not be sold. If this happens, we will reach out to interested parties / bidders to try and agree a sale after auction at or above your reserve.
Will I need to have an EPC conducted?
If the property does not already have an EPC rating done, then the answer is more likely yes, as most properties sold at auction will need to have an EPC conducted before being listed for auction. However, depending on what category your property comes under there are some exemption, so we recommend consulting your solicitor.
Why should I sell my property at auction?
One key feature of the auction is the competitive bidding process, which helps to drive the property price up. However, the main benefit of auction includes the speed and certainty that auction offers, because there is absolutely no faster way to sell your property. Plus the buyer won’t pull out of the purchase, therefore the success rates from auction through to completion are far higher than with traditional estate agents. Another attractive reason is that auction delivers a legally binding sale. Selling by the unconditional auction method means that once the gavel falls (auction end period), the buyer has to pay a 10% reservation fee deposit, so neither party can pull out of the sale or try to renegotiate the price. The buyer then has around one month to complete the sale.
How do you market my property for auction?
On average, properties will be listed 4 to 6 weeks on our website before the auction date. This allows the property listing to be viewed and put to market for a prior to the auction beginning. It will also be added to major property websites such as Rightmove and actively posted across various social media platforms. Your property listing will be included in our email marketing newsletters, which is sent to active auction buyers as part of our marketing strategy.
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Head Office based in Ayr, Ayrshire