Whether you are a relative novice or a seasoned professional we can provide advice about all aspects of buying and selling at auction. Selling or purchasing property at auction has a number of advantages to both buyer and seller. Much of the trauma and delay associated with a property transaction is eliminated, as the date of both the auction and completion for a sale is fixed, the contract for purchase being binding at the fall of the auctioneer's gavel with exchange of contracts taking place and a 10% deposit being payable on the day, with the balance payable upon completion usually 28 days after.
Leonards Auction Team
The Leonards Auction Team is headed up by Mark Broadhurst, partner at the firm, a chartered surveyor who has been at Leonards for over 30 years. He has considerable experience as a valuer and an auctioneer who is dedicated in providing a traditional method of auction sales within Hull stating "sellers can remain confident in the knowledge that at the fall of the hammer a legal contract is created, they have a sale of their property and will receive their money within 28 days or sooner". Aided by the auction team of valuer, Martin Russell and registration administrator Lynda Varey, Leonards are pleased to continue with traditional property auctions with NO BUYERS PREMIUMS, NO HIDDEN COSTS ensuring sellers get the MAXIMUM PRICE.
Ring 01482 375212 (East Hull and Villages) or 01482 330778 (West Hull and Villages) for free auction advice and appraisal, competitive auction fee packagaes available.
Selling at Auction
If there is strong competition between would-be-buyers, or as a vendor you wish to dispose of property quickly, this method of sale is often an excellent way of achieving a premium price on sale.
- Speed in Achieving Sale
- High Success Rate
- Avoidance of Aborted Sales
- Known Marketing Costs
- Flexible Fee Packages
- Competitive Bidding
The Selling Process
- Contact Leonards who will make arrangements to provide a FREE Auction Market Appraisal and meet you at the property where we can advise on the auction process, costs and commission charges.
- We will explain how and when the Reserve Price (lowest price you are willing to accept) is set and also explain and agree with you the Price Guide which is given to anyone interested in the property and together with its relation to the Reserve Price.
- Written confirmation of the 'Terms of Business' will be issued which covers all aspects of our fees, associated costs and the marketing of the your property.
- You will then need to instruct your Solicitor and inform them that the Leonards will be making contact as well as agreeing with them their charges and when these will be due. If you do not have one, then we will pleased to make a recommendation, or you may wish to consider the service of our NO SALE NO FEE solicitor option.
- The solicitor will then prepare a legal pack in conjunction with you including a contract, searches and sundry information. These are made available for inspection by prospective purchasers prior to the auction.
- The marketing of the property will begin, this will include internet and local press advertising together with a mail shot to our comprehensive data base of registered buyers with our auction catalogue.
- We will report any pre-auction offers to you and advise accordingly
- You do not need to attend the auction as Leonards as your authorised agent can sign the contract on your behalf and complete the legal formalities.
- If occupied, you will need to vacate the property by the completion date unless the property has a tenant and it is being sold subject to the tenancy.
The Buying Process
Buying at Auction
Buying a property at auction has many advantages. As a buyer, you are in control of deciding when to bid and how high you wish to go in achieving a successful purchase.
- Buying at true market Worth
- Certainty of Success
- Quick Completion of Purchase
- Bidding Transparency
- Obtain a copy of the auction particulars from Leonards.
- Make a thorough inspection of both the property and the auction legal pack. Don't be afraid to ask if you have any queries, we may be able to help. You are however advised to seek independent legal advice from your own solicitor.
- Make sure you know how much deposit will be required (usually 10% of the purchase price) and make arrangements for sufficient funds to be available prior to the date of auction.
- You may be required to pay for the property searches or a contribution towards the sellers legal costs, this information will be available from the auctioneers or the sellers solicitors.
- Ask your Solicitor to advise on the legal pack and raise any queries with the sellers solicitors.
- You would be wise to obtain advice on the condition of the property as well as finding out any other relevant information including planning and building regulations matters.
- If you are obtaining a mortgage or loan, then it is advisable to have a your valuation/survey carried out prior to auction to ensure that it acceptable to your lender for the level of borrowing you wish to secure.
- Armed with all this advice, together with Terms and Conditions of any loan, decide on the maximum price you will are prepared to pay for the property.
At The Auction
It is very important to arrive at the auction well before the advertised starting time. This is because any changes or additional information about the property will either be available in an "Addendum" or will be announced by the auctioneer immediately prior to the auction itself. Such alterations may have a bearing on your desire to buy the property.
- You can bid personally or someone else may be instructed, such as, a family member or your Solicitor can bid on your behalf. They should bring to the auction a letter of authority from you and alert one of our auction team they intend to bid on your behalf.
- Usually there will be a reserve price (this is the minimum sum the seller will accept for the property).
- If you are successful in your bid, you or your authorised representative will need to sign and exchange the contracts and pay the deposit immediately following the auction. At the fall of the auctioneer's gavel, you will be bound by the terms and conditions of the sale and usually liable for the insurance of the property from that moment.
- The date for completion when you will pay the balance of the purchase price and take possession of the property will be clearly stated in the conditions of sale and is usually 28 days after the auction date, this will be announced by the auctioneer.
- If a property remains unsold, the auctioneer usually has authority to sell it privately in the room immediately after the sale, so it is sensible to register your interest at once even if a sale cannot be agreed straight away.
Forewarned is Forearmed
If you are considering buying a property at auction, it is worth reiterating some very important points:
- Read through all the legal documents carefully, as these may vary from one property to another. It is advisable to take professional advice from a solicitor.
- Bid clearly. Generally the auctioneer will make it quite clear as to where the current bid is in the room.
- Make sure you are aware of the method of payment available at the auction venue and amount of the deposit (usually 10% of the hammer price). Don't forget that you are bound to pay this at the moment the gavel comes down on your bid. Your liability for the property also starts from this point.
- Buying and selling property at auction is a straightforward and, in many ways, fairly painless method, but be on your guard. It is essential for both buyer and seller to take careful and detailed professional advice from Solicitors and Valuers. Go in with your eyes wide open, armed with all the information and advice available, and the whole process should go smoothly.
Auction Properties WANTED
There are no real boundaries as to what type of property is suitable for auction, however as a guide, we have found the following particular types have brought success for clients in our ‘traditional’ auction sales.
From being structurally defective and thus perhaps non mortgageable, to only requiring some upgrade & modernisation, this type of property is particularly popular and attractive to private individuals, speculators and ‘buy to let’ investors.
Building Plots & Redevelopment Opportunities
Properties or cleared sites can often achieve premium prices when offered by public auction where there is the possibility of gaining planning consents for change of use or new build projects, infill plots to small development sites where planning consent has been granted remain popular.
Agricultural or Amenity Land
From small holdings to fully equipped farms, equestrian paddocks or amenity land, auction has proved particularly popular where competition from buyers is known.
Commercial & Mixed Use
Particularly popular with investors, this type of property can include retail shops with flats over through to a variety of industrial or leisure properties either vacant or with tenants in situ, often sold in conjunction with a specialist third party Commercial Property Agent.
Auction Fees & Charges
We are able to offer very competitive fee packages to suit an individual’s particular budget and requirements.
Standard Auction Charge
There is an auction Entry Fee which is payable in advance of your property being entered into our auction catalogue. This charge covers our auction and marketing expenses, sale particulars, floor plan and viewings.
£360.00 (£300 + VAT)
Deferred Standard Auction Charge
Our ‘Standard Auction Charge’ Entry Fee can be deferred if you prefer and payable upon either the successful sale of your property or in the event it is withdrawn from our agency. This charge covers our auction and marketing expenses, sale particulars, floor plan and viewings.
£480.00 (£400 + VAT)
Energy Performance Certificates (EPC’s)
In addition to the above Charges, it is a legal requirement for any property offered for sale, that it has a valid EPC. Our current charge for an EPC is £90 (£75 + VAT).
Auction Sale Commission/Fee
When the property is sold (contacts are exchanged) following the fall of the auctioneers hammer, you will then be liable to pay a commission of 1¼% of the sale price + VAT (minimum fee of £1,250 + VAT). Our fee will be submitted to your solicitor for payment upon legal completion.
Solicitors Fee Packages
We are able to recommend a number of local firm’s of solicitors who have experience in producing the necessary legal pack and documents for the sale of your property and provide you with a competitive fee quote, a number of which are able to offer ‘deferred’ fee packages ON A NO SALE NO FEE basis.
Auction News & Results
Auction Date: Tuesday, September 5th, 2017
Venue: Village Urban Resort, Near Hessle
Lot No. Address Type Guide Result Lot 1 50 Newbridge Road, Hull HU9 2RE Residential/Commercial £60,000 to 65,000 £60,000 Lot 2 12 High Street, Patrington HU12 0RE Residential £60,000 to 65,000 £63,000 Lot 3 6 Laburnum Grove, Lorraine Street, Hull HU8 8ES Residential £25,000 to 35,000 £40,000 Lot 4 32 Seafield Avenue, Hull HU9 3JQ Residential £95,000 to 120,000 £111,000 Lot 5 56 Lodge Street, Hull HU9 3EN Residential £60,000 to 70,000 £83,000
Auction Date: Monday, December 11th, 2017
Venue: Village Urban Resort, Near Hessle
Lot No. Address Type Guide Result Lot 1 2 Elsie Villas, Holland Street, Hull Property £35,000 to £40000 £33,500 Lot 2 31 Blenheim Street, Hull Property £60,000 to £65,000 £77,000 Lot 3 30 Oldstead Avenue, Hull Property £70,000 to £75,000 £77.000
Auction Date: Tuesday, March 13th, 2018
Venue: Village Urban Resort, Near Hessle
Lot No. Address Type Guide Result 1 1 Helmsdale, Newbridge Road, Hull HU9 2LZ Residential £30,000 to 35,000 £40,500 2 47 Middleburg Street, Hull HU9 2QN Residential £30,000 to 40,000 £43,500 3 68 Inglemire Lane, Hull HU6 7TA Residential £80,000 to £90,000 £109,000