Stephenson Browne began conducting auctions in mid-2017 following a long awaited desire to step into a market where few local agents ventured. Our first auction was a great success, selling over 65% of the 8 lots on offer. Our experienced auctioneer and branch manager at Newcastle, Mark Tatton, was able to extract the offers from the room in a venue that we think is perfect for the occasion at Wychwood Park Hotel & Golf Club in Weston, Crewe.
With auctions increasing in popularity, higher selling prices are being regularly achieved. There is also a chance that you will receive an offer before the auction itself, which will avoid the hassle of the auction if you are happy to accept it.
If you need to sell quickly, the turnaround time when selling at auction is normally a far speedier process than when selling via an estate agent. Once you have registered with the auction house the auction will generally commence within one month, with the completion of the sale happening typically between 20-30 days after the auction. It is worth remembering that you will need to be in a position to move out of your home to fit with these timescales!
Selling a property by private treaty leaves you open to possible breaks in the chain and the sale falling through, as no one is legally obliged to proceed until exchange of contract. This may mean starting all over again with a new buyer, which is both costly and time consuming. When selling at auction, there is no chain and the buyer will forfeit their 10% deposit if they are unable to proceed.
Auctions attract a variety of buyers; traditionally investors and property developers, who are often able to make cash purchases. Auctions are seen as a great way to snap up an affordable property and while buyers are often in search of a bargain, if there is a lot of interest in your property it could reach a higher price than on the open market.
Typically, the types of property often sold at auction are:
Repossessions – mortgage lenders often use an auction to sell the properties that they repossess as it offers a fast and cost effective way to dispose of the property. These properties often have a lower reserve price, as the lender is simply interested in recovering the debt.
Properties requiring renovation – this is the ideal opportunity for property investors to find a property that requires work and could therefore be worth more money once improved and re-marketed.
Unusual/difficult to value properties – it is often possible to find something a bit different at auction, where estate agents may not be sure of the market value. If your property generates particular interest, it could go for far more money than any agents estimated value.
Land – with “hope value”. This offers potential development opportunity subject to planning permission.
If you think you have a property that may be suitable for sale by auction please give the relevant office a call to discuss further and have a free market appraisal.
Alsager – 01270 883130
Sandbach – 01270763200
Newcastle -01782 625734
Crewe – 01270 212545