Do I need a local auction conveyancing solicitor near me?

You do not need to work with a solicitor near you for purchases at auction. You should look for a solicitor who is able to complete the transaction in the required time frame and who has experience in dealing with auction purchases. Solicitors, like those on our panel, use online ID to verify your personal identity and provide mobile apps to upload documents. It is however important that you can call your solicitor during the process as communication is key when working to a tight deadline.

How much do solicitors charge to read a legal pack?

Costs vary however you'll pay more for a leasehold than a freehold. We charge INC VAT for Freeholds OR INC VAT for Leaseholds.

Can I pull out after I win the auction?

Yes you can, however it'll be very costly. You would forfeit the 10% deposit you paid at auction and you'll be liable for any of the seller's costs including the auction house fees, solicitor fees and interest at 4% above Barclays Base Rate. If you have won at auction and need to pull out then read this article - Can I Pull out after I exchange contracts?

5 Top Tips for Auction Conveyancing

1 Set yourself a bidding limit Setting a bidding limit for what the property is worth is the most important thing to do. You should first review the property prices for sold and under offer properties in the local area to your property; preferably on the same street - one street along (even at the end of the street) can have a serious affect on the price of a property. The prices you see will in theory be what your property would sell for in a good condition, which means you need to have a figure in mind for renovating the property into a similar condition. Auction properties are often in a poor condition and require work to bring up to current market value. This cost needs to be factored into your bid limit along with the purchase costs including stamp duty, land registration etc. (read What are the cost of buying an Auction Property). 2 Order conveyancing searches Property searches contain essential information about the property including planning permission, building control sign off, contaminated land risk, flood risk and ground stability information (read more about - Property Searches for auction properties). Mortgage lenders won't lend money unless you have certain property searches - See what searches your mortgage lender requires here: Council for Mortgage Lender Handbook. If your auction legal pack doesn't include conveyancing searches then ask your conveyancing solicitor to confirm which searches to get based on the legal pack and the area of the property. The costs of searches depends on the local authority and water board. They can take up to 3 weeks to come back so make sure you get them ordered ASAP. 3 Sort your finances With only 28 days between exchange and completion, you won't have much time to organise your finances. The process of getting a mortgage can take weeks to organise from mortgage in principle to mortgage valuation to mortgage offer. You need to have a mortgage in principle before you go to auction. You may also look to get If you are a cash buyer then you must read our article about - Buying a Property without a mortgage. 4 Get an Auction Survey Access for auction properties is limited and the time allowed for inspections is short. You'll need to get a RICS surveyor booked for the specific time available to inspect the property to ascertain if there are any potential defects affecting the property. As we have seen above, there are some structural defects that can make the property unmortgageable. We have local RICS surveyors based throughout England with next day availability. If you need an auction survey please call us on 0333 344 3234. 5 Instruct an Auction Solicitor to review the legal pack Although limited in detail, you should instruct an auction property solicitor to review what legal paperwork is available. The information the seller provides could have hidden restrictions or legal issues that could be spotted before you make your bid. Our solicitors charge a fixed fee for completing this legal review and they'll provide a report that'll inform you of the risks of buying the auction property based on the information available. How much do solicitors charge to read a legal pack? Costs range from £299 up to £899. We charge a fixed fee of INC VAT for Freeholds OR INC VAT for Leaseholds.

Can you buy auction property with mortgage?

You can buy auction property with a mortgage, however most choose to buy cash or get bridging finance due to the time constraints between the auction and completion.

We offer pre-auction reports or post-auction conveyancing and can achieve a fast completion to meet your deadline.

We provide fixed-price auction conveyancing quotes tailored to you with no hidden extras.

Auction Conveyancing Solicitors

by:

Andrew Boast

(Last Updated: 13/09/2024)

Created on:

07/02/2023

Read by:

33,500

10 min read

Key Takeaways

The buyer exchanges contracts on the day of the auction.
Completion must take place within the set number of days after the auction.
You can delay completion by a maximum of 10 working days or by consent of the seller.
Finance complications are the most common cause for delays such as obtaining bridging finance.

Buying a property at auction differs from the standard conveyancing process primarily because you'll be contractually bound to buy the auction property after you win the bid. The below article explains the conveyancing process at auction, however, if you're more interested in the risks, then read this article - What are the risks of buying at auction?

In this article

What is the auction conveyancing process?

1. Seller lists the property at the auction house

They'll also instruct auction property solicitors to prepare the auction legal pack.

2. The buyer chooses the property they are interested to bid on

3. Auction Legal Pack becomes available to review

Normally, the auction pack becomes available to view 2-5 days before the auction date. It isn't mandatory to use a solicitor to review the documents; however, many savvy buyers do.

4. Auction takes place.

If you win, you pay your 10% deposit on the day and are contractually bound to buy the property. Read our - Top tips for buying at auction property

5. Post Auction Conveyancing

Your solicitor handles the completion for the date set in the contract, normally 21 to 56 days after the auction.

What are the different types of auctions?

Auction House. You attend on the day or bid online.
Modern Method of Auction. An online auction only. Read more - What is the Modern Method of Auction Houses? and I Am Sold Online Auction.

What documents are included within the Auction Legal Pack?

Prior to the auction day, the auction house provides a legal pack about the property being sold. The pack will normally contain all of the following:

Contract of Sale
Title Plan - the boundary of the property
Official copy of the register of title - also known as the title deeds
Conveyancing Searches - normally the local authority, drainage and environmental search
Protocol Forms - TA6 Property Information Form, TA10 Fittings and Contents Form and (if leasehold) TA7 Leasehold Information Form
(If Leasehold) Leasehold Information Pack - also known as the Management Information Pack. It contains information about the ground rent, service charge and major works.

Whilst the above is what you should receive when buying property at auction, the legal pack can lack information, especially if it is a repossession auction because the seller didn't live in or own the property, so they have very little knowledge of the auction property. This is why you need specialist auction solicitors to review the legal pack before the auction. The review should highlight missing information and flag issues in what documents have been provided.

The information is normally limited and should be reviewed by a solicitor before you make an offer. Conveyancing solicitors will be happy to prepare a pre-auction report based on this information and any other that they can obtain prior to you attending the auction house. This costs much less than the conveyancing for a full purchase.

Freehold Pre-Auction Report Review

Risks of buying a house at auction for Freehold

£299 INC VAT

2 working day turnaround* | Completed by our panel solicitor.

Leasehold Pre-Auction Report Review

Leasehold Block of Flats and the risks of buying at auction

£480 INC VAT

5 working day turnaround* | Completed by our panel solicitor.

Watch out when buying leasehold flats at auction

A common mistake is buying a leasehold property at auction without determining the lease term first. Leasehold properties with short leases (under 80 years) may not be able to be mortgaged. For some seasoned auction buyers a short lease is an opportunity, here's what you can do: Buying a leasehold property with a short lease.

Winning Bid - Legally binding once the hammer falls

Unlike with standard conveyancing, where you can take as much time as you like before you confirm you are happy to exchange contracts, an auction property is legally binding at the point the hammer comes down. You'll have to pay your auction fees and 10% deposit and complete the purchase in 28 days (the normal agreed time frame).

You never truly know why a property is being sold at auction. Was it that the seller needed a fast sale? Does the property have a structural defect that can't be fixed? Is the lease short and the freeholder won't extend? Is the council looking to enforce the removal of an extension with no planning permission? (read more about What hazards to look for when buying a home)

The challenge is that if there is an issue post-auction, you could be buying a property that can't be sold on the open market, or your mortgage lender won't lend you the money because of the issue. This exposes you to losing your 10% deposit and the seller's legal costs.

How to finance an auction purchase

Cash. For speed buyers choose to buy cash from personal savings or company loan. The goal being to purchase quickly and then refinance post completion or look for a quick sale following completion of works. Some lenders won't agree to provide finance on the property until it has been registered for 6 months.
Bridging Finance. You can raise bridging finance on the property or another asset for short term cash flow. Read more - What is a Mortgage Bridge Loan?.
Standard Mortgage. This is more risky as you can often run out of time to get the mortgage in time for the short completion. You may also find out the property isn't mortgageable due to its condition.

What are the risks of buying at auction?

When buying at auction, there are no guarantees. If you buy at auction, you do so caveat emptor (literally 'let the buyer beware'), which means that if there's something wrong with the property, you probably won’t have any comeback against the seller or the auctioneers. You might have a remedy if there were misrepresentations in the auction catalogue or legal pack, however this is a complicated area of law and you'll need a property auction solicitors. You could face the prospect of expensive litigation, which is best avoided. Read more - What are the risks of buying at auction?

Auction TitleChecker	Auction Legal Pack Review Cost	Post Auction Conveyancing
Auction TitleChecker Short on time? Get a report that inspects the property title today. Flags restrictive covenants Easy to read Shows charges (mortgages) Great for multiple properties Delivered within 24 hours (normally within the hour) £66 INC VAT	Auction Legal Pack Review Cost 2 days or more? Get a solicitor to inspect the legal pack. Review of the auction paperwork Flags missing documents Interprets the title Written report highlighting risks Specialist auction conveyancing solicitors £299 INC VAT £480 INC VAT	Post Auction Conveyancing Winning bid? We can get you through to completion quickly. Completions in 21 to 28 days Fixed Fees On all lender panels Specialist auction solicitor Rated Excellent on Trustpilot Get a Free Quote From £995 INC VAT

Auction TitleChecker

Auction Legal Pack Review Cost

Post Auction Conveyancing

Auction TitleChecker

Short on time? Get a report that inspects the property title today.

Flags restrictive covenants
Easy to read
Shows charges (mortgages)
Great for multiple properties
Delivered within 24 hours (normally within the hour)

£66 INC VAT

Auction Legal Pack Review Cost

2 days or more? Get a solicitor to inspect the legal pack.

Review of the auction paperwork
Flags missing documents
Interprets the title
Written report highlighting risks
Specialist auction conveyancing solicitors

£299 INC VAT £480 INC VAT

Post Auction Conveyancing

Winning bid? We can get you through to completion quickly.

Completions in 21 to 28 days
Fixed Fees
On all lender panels
Specialist auction solicitor
Rated Excellent on Trustpilot

Get a Free Quote

From £995 INC VAT

Frequently Asked Questions

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TIPS

MORTGAGE

* Subject to availability. Delivery times may vary according to demand and we will always prioritise your report if your auction date is sooner than another client's. That means that your report may take longer if another client's need is more urgent than yours. Please allow at least 2 days from your providing us with the Auction Legal Pack.

Auction Conveyancing Solicitor

We have specialist auction solicitors who can help with:

Pre-Auction Report (minimum 2 working days needed before auction)
Post Auction Conveyancing handling completion in the 21 to 28

Auction Conveyancing Solicitors Quote

Auction Specialists | Fast Completions | FIXED FEES | On all mortgage lender panels

Written by: Andrew Boast

Andrew started his career in 2000 working within conveyancing solicitor firms and grew hands-on knowledge of a wide variety of conveyancing challenges and solutions. After helping in excess of 50,000 clients in his career, he uses all this experience within his article writing for SAM, mainstream media and his self published book How to Buy a House Without Killing Anyone.

Reviewed by: Caragh Bailey

Caragh is an excellent writer and copy editor of books, news articles and editorials. She has written extensively for SAM for a variety of conveyancing, survey, property law and mortgage-related articles.

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