A Brief Guide to Buying & Selling by Auction
Buying by Auction really is a simple business, but you do need to be aware of the possible pitfalls. There are various matters that you should arrange prior to bidding and these notes contain important information, particularly for those not familiar with Auctions. If you would like any particular point clarified then do call us - we are at the service of Buyers and Sellers.
Tel: 0345 8500333
Guide and Reserve Prices
Guides are provided as an indication of the Sellers minimum expectation. They are not necessarily figures at which a Lot will sell for and may change at any time prior to Auction. Unless stated otherwise, each Lot will be offered subject to a reserve (a figure below which the Auctioneer cannot sell the Lot during the Auction). We expect the reserve will be set within the guide range or no more than 10% above a single figure guide. Please check our website regularly in order to stay fully informed with the up-to-date information
Common Auction Conditions & Special Conditions of Sale
The Auction is conducted in accordance with the Common Auction Conditions and Special Conditions of Sale, both of which are available free of charge upon request. An Addendum is also issued on Auction day and should be read if you intend to bid.
Viewing arrangements for each lot are set out in the catalogue or you can book direct through this website.
Block viewings are at specific times by prior confirmed appointment and will normally last for around 20 minutes. Our negotiators have tight schedules and potential buyers arriving late will only have limited viewing time.
Access to view tenanted properties is by courtesy of the tenants, who are under strict instructions not to allow unauthorised viewings. Interested parties are asked to respect their privacy at all times.
A confirmed booking is required for each viewing and we do not guarantee to attend block viewings where appointments to view have not been confirmed by prospective buyers.
Once a Lot has been sold there will be a charge of £75, inclusive of VAT, per visit, if we are asked to conduct further viewings for any reason prior to completion.
Prospective buyers view all lots entirely at their own risk and neither the auctioneers, joint auctioneers or the sellers take responsibility for any damage or injury, however caused. It is advisable to wear appropriate footwear and clothing as some buildings, particularly those for refurbishment, may have uneven floors or even missing floorboards! Please also bring a torch as the electricity is often not serviceable for safety reasons.
If you are intending to bid you are advised to consult a Solicitor/Licensed Conveyancer to give independent advice on the legal documentation, which can be inspected at our offices or downloaded online from this website. The legal documents will also be available in the Sale Rooms prior to the Auctions.
Finance must be arranged before the date of the Auction and any valuation/survey required by your lender should be completed before you bid. As the successful Buyer it will be your responsibility to insure the property on exchange and you should make arrangements immediately after the sale.
Prospective Buyers are required to make all their own investigations to satisfy themselves as to the condition of all Lots and make any necessary pre-contract enquiries prior to bidding. If you are the successful Buyer then the Contract is binding on the fall of the hammer.
All legal documentation supplied to us, including Special Conditions of Sale, Title Details, Leases, Searches, Planning Permissions and Plans will be available for inspection prior to the sales.
We also offer the facility to download the legal documentation directly from this website, subject to registration and log-in.
Legal documents are also available by post, (upon pre-payment of copying charges), or inspection at our offices (by prior arrangement) or in the auction room before each sale.
Prospective bidders are strongly advised to inspect the legal documentation and to consult a legal advisor for independent advice prior to bidding.
Measurements and Plans
All room sizes and site measurements are approximate and may have been scaled from architects, Land Registry or Ordnance Survey Plans. Each Lot will be sold in accordance with the Title Documents as the Location Plans shown in the catalogue are for identification purposes only.
Prospective Buyers should make their own site inspections and investigations with regard to the accuracy of all measurements given in the catalogue and make any necessary pre-contract enquiries prior to bidding. If you are the successful Bidder then the Contract is binding on the fall of the hammer.
Deposits, which are payable on the fall of the hammer, are 10% of the purchase price. If the sale price is less than £30,000 then a minimum deposit of £3,000 will be payable.
Buyers should arrange to bring either a bankers draft/counter cheque, building society draft or debit card to the Sale Room to cover their maximum bid. Personal and company cheques will only be accepted by prior arrangement.
If you wish to pay by personal or company cheque then you should call us on 0345 8500333 at least three working days prior to the Auction for further details. A £20 fee will be charged (payable in cash only) upon acceptance of any personal or company cheque to cover the special clearance costs levied by our bank. All drafts/cheques should be made payable to "Regional Property Services Ltd" (unless otherwise stated in the Special Conditions).
Deposits can also be paid by debit card (not credit card). Transactions must be in person and cannot be accepted over the telephone. You must make sure that there are cleared funds in the account and PIN numbers and a series of security questions, including password, will be required to complete the transaction.
Buyers should note that cash will not be accepted for deposit payments, although the Administration Fee may be paid as cash separately to the main deposit.
We have a primary duty to our Clients (the Sellers) and reserve the right to immediately re-offer any Lot if the deposit conditions are not strictly adhered to in accordance with our Conditions of Sale.
An Administration Fee is payable at the same time as the deposit for each Lot purchased. The administration fee will be added to the sale price on the following scaled increments and includes VAT;
Up to £20,000 = £400
£20,001 - £50,000 = £600
£50,001 - £100,000 = £800
£100,001 and above = £1,000
Our Clients have agreed that only pre-Auction offers substantially above the top Guide Price figure will be submitted for their consideration. Offers must be in writing and will only be considered if the property has been viewed and the legal documentation inspected. Pre-Auction bids will be on the basis of an immediate exchange of Auction Contracts upon acceptance by the Seller with the Buyer providing the full deposit and Administration Fee. Any offer will be assumed to be your best and final offer and we cannot guarantee that you will be invited to increase your bid in the event of an alternative satisfactory offer being received prior to exchange.
Withdrawal / Sale Prior
Interested parties are advised to establish that the Lot is to be offered by telephoning the Auctioneers before leaving for the actual Auction, especially if you are making a long journey!
Remote Bidding Services
Although we strongly advise prospective Buyers to attend the Auctions, we do provide a remote bidding service for telephone, proxy and internet bidding if you are unable to bid personally. A detailed instruction form can be downloaded from this website or is available from our Offices. Completed forms, with accompanying deposits and proof of identity, should be returned to our Maidstone Office at least 72 hours prior to date of the Auction. Telephone bidding will be dealt with on a first come, first served basis only. We cannot accept responsibility for failure of the telephone, postal or internet services.
The Auction Day
Arrive in plenty of time for Bidders Registration. Read the Addendum and view any last minute legal documentation at the Clerks Desk. The Auctioneers will be in attendance one hour before each Sale. Questions are not invited during the Auction and last minute information can be obtained from the Clerks Desk while the Sale is in progress.
Listen carefully to the Auctioneers opening remarks as they may affect the Lot in which you are interested and, if you are not bidding on the first few Lots, watch the way in which the Auction is conducted. Bid briskly by raising your Bidding Number so that the Auctioneer can see you clearly - leave winking and nodding to the professionals! On the fall of the hammer the highest Bidder above the reserve is contracted to buy.
All potential Buyers are required to register their details before bidding. At registration you will need to provide the full names and address of the Buyer for Auction Contract purposes, the Bidders details (if these are different from the named Buyer) and the Solicitor/Legal Representative. You will also need to prove your method of payment of the deposit/administration fee and that you have the necessary proof of identity to comply with Money Laundering Regulations.
Registration takes place at the Auction, where you will be allocated a personal Bidding Number, which will enable you to bid. There is no charge for registration and Bidders who attend our Auctions on a regular basis are invited to retain their Bidding Number for future use, subject to confirmation of deposit payments and proof of identity on each occasion. The Auctioneer reserves the right to refuse a bid where registration has not taken place and to offer the Lot to the Underbidder.
Proof of Identity
In compliance with the Money Laundering Act all successful Bidders are required to provide photographic identification and proof of address for all named buyers when signing the Memorandum of Sale. In all cases Buyers must present the following documents:-
- photographic identity document such as a current passport or UK driving licence and
- an original utility bill, council tax bill, building society or bank statement or any other form of identity document (with the exception of a mobile phone bill or credit card statement) that has been issued within the last three months and that provides evidence of residency at the correspondence address.
If the bidder is acting on behalf of another party, they will be required to provide the documents detailed above for both themselves and for the named Buyers for whom they act, as well as providing a valid letter of authority from the Buyers authorising them to bid on their behalf. If the bidder is acting on behalf of a company, the above documents will still be required, together with written authority from the company and a copy of the Certificate of Incorporation.
On the fall of the hammer the highest Bidder above the reserve is contracted to buy. The successful Bidding Number is noted and the Buyer immediately approached for the required deposit, administration fee and proof of identity. The Sale Memorandum will be prepared at the Clerks Desk and must be signed and exchanged before leaving the Auction Room.
The signed Counterpart Sale Memorandum should be passed to your Solicitor or Legal Representative immediately and you should also insure the property, if appropriate. Completion will normally take place 20 business days after exchange, but this may be varied in the individual Special Conditions of Sale, which are attached to the Sale Memorandum.
The Auctioneer is legally authorised to sign the Sale Memorandum on behalf of both the Buyer and Seller if you leave the Auction Room without signing. We reserve the right to immediately re-offer the Lot if the deposit conditions are not strictly adhered to in accordance with our Conditions of Sale.
After the Auction
A list of unsold Lots will be available after the Auction stating the minimum price at which that Lot can now be bought. Offers will be submitted on the basis of an immediate exchange of Auction Contracts upon acceptance by the Seller.
Good luck on the day and if you are unsure of any aspect of buying or selling then do call our offices - our staff will be delighted to assist.