If you have decided to list a property for sale at auction and are confident this is the best way to achieve a fast sale or attract the right buyers who will see great potential in the house, you may be thinking: how do I put my property up for auction? The next step is to speak to an experienced auctioneer.
We often consult with sellers who are keen to sell and yet wish to access further guidance about the property’s suitability or the specifics of listing their property, understanding how the marketing process works and how soon they can include their house in a forthcoming auction event.
We’ve written a full guide on selling a house by auction here, but in this guide, we explain briefly your next step and how to put your house up for auction. You can also get in touch if you have any specific queries we can assist with or for a free appraisal and valuation.Â
1. Scheduling a House Appraisal Before Listing
The first task is to contact our friendly team to discuss your property. The appraisal process provides you with professional guidance, where we’ll evaluate the home and how well we think it will sell at auction. We can also work through the potential approaches to achieve the value you would like.
Setting a guide and reserve price can feel complex, but a capable auctioneer can share their insights into what similar properties have sold for and what they think will be a guide price that attracts excellent levels of interest without being lower than necessary.
Your reserve is the minimum the auctioneer will accept on the day. It is set at a level at which you are comfortable along with a figure the Auctioneer feels is appropriate
2. Confirming Your Instructions With the Auctioneer
If you are happy to proceed, you’ll be asked to enter into an auction agency agreement, which you need to sign and return.
An auction agency agreement is a contract between you and the auctioneer and ensures everything is confirmed in writing before your home is listed for sale. This document includes the terms and conditions, fee structures and details – it also provides the auctioneer with your approval to proceed with marketing your property.
Signing the agreement protects the rights of all parties and means you know exactly what you are instructing the auctioneer to do in terms of the planned auction date, the reserve price you have set, the fees you agree to pay the auctioneer on a successful sale, and how they will advertise the property on your behalf.
You can read more here: how much does it cost to sell a house at auction uk
You can also refer back to the auction agency agreement to double-check you have completed all of the tasks assigned to you as the seller, such as ensuring you have made arrangements for the auctioneer to schedule block viewings or have agreed to provide copies of legal documents they will require from your solicitor
The auctioneer will not take any action without receiving a signed auction agency agreement, so you can take as much time as you need to review the terms and ensure you are comfortable with all of the conditions.
After you have moved forward and submitted the signed auction agency agreement, the auctioneer has the authority to represent your property and begin the marketing process.
3. Conveyancing and Compiling the Legal Pack
Selling a property almost always means you will need a conveyancer or solicitor to assist with the legal aspects of the transaction, such as conducting searches on the property and providing copies of formal documentation such as the title deeds.
The auctioneer will request the legal pack from your solicitor and make the documents available for download so prospective buyers can access and review them in advance of the auction, helping them make informed decisions about whether to bid and at what amount.
Your auctioneer will liaise directly with your appointed solicitor or conveyancer, with your approval, and put together a checklist of all the paperwork required, streamlining the process and ensuring the property is listed for sale without delay.
In some cases, you may need to arrange an inspection to ensure you have an up-to-date Energy Performance Certificate (EPC), which can be a useful document and show how efficient the property is and where there is scope for a new buyer to make improvements.
4. Organising Property Viewings
Most buyers interested in bidding for properties listed for sale at auction will want to visit the property in person – video walkthroughs, floorplans, photographs and the legal pack are equally important to showcase all the details of the house from condition to location.
As your auctioneer, we normally arrange block viewings, which are more convenient for the seller than having individual buyers attending at different times and on alternative days to take a closer look. As auctioneers we always have fully trained staff attending the viewings.
You can either remain in your home and participate in the viewings if you’d like to or can instruct the auctioneer to handle the viewings for you. If the house is vacant, it is common to provide the auctioneer with permission to enter and a set of keys.
Block viewings are typically arranged over a few different days to ensure all interested buyers have the opportunity to visit, and the nature of multiple buyers viewing the house at the same time is often a great way to increase interest and set the tone for a competitive bidding environment.
5. Attending the Auction
The date and time of the auction are always agreed in advance – you will know when the auction goes live, when it is due to end, and when the bidding opens for online buyers.
We tend to have an auction around once every six weeks, although this can vary depending on demand as we commonly have periods of time with significant interest or listings, in which case auctions may be scheduled more frequently.
However, it is important to allow sufficient time for marketing and viewings rather than listing a newly advertised property in a forthcoming auction without having the capacity to work through the professional marketing process.
Many sellers wish to sit in on the auction and watch the bids arriving, although you are equally welcome to leave the auction in the capable hands of the auctioneer. We will advise once the auction ends whether your reserve price has been met and the next steps of transferring the funds and completing the sale.
Read more here If you’re looking for more information about how online auctions work.
About the Author:
Sam Kinloch
Sam’s career in the dizzy world of property auctions began when he hung up his chainsaw and headed in from the forest. Joining the team in 2003 Sam now sits on the Board of Directors and has been instrumental in the adoption of online auction services. Out of the office you can find him flying around the velodrome or sipping coffee at a local café.