Auction Pack Reviews
When buying a property at auction, and prior to bidding, you should have all the relevant information to hand to be able to make an informed decision, both in terms of whether the property represents a safe investment and, if so, how much to bid.
Before the auction itself, a legal pack for the property should be available via the Auction House which will need to be reviewed by an experienced conveyancer. This pack should contain a number of documents, including the contract of sale, the title deeds and title boundary plan, together with any conveyancing searches. It should also include various forms completed by the seller such as the Property Information Form, Fittings and Contents form if applicable and, if the property is leasehold, the Leasehold Information Form plus the Management Information Pack.
It is only by carefully scrutinising these documents that a Lawyer specialising in conveyancing can flag any legal risks. Although buying a property at auction can often mean bagging a bargain, there can be all sorts of costly issues which first need to be flushed out; issues with the legal title not being good and marketable, not suitable for lending purposes.
Within the Contract there are usually a number of Special Conditions of Sale, these often require the buyer to pay the seller’s legal fees and disbursements. There can also be financial penalties for not completing within the time frame stipulated in the Contract. It is therefore vital you are advised on these costs prior to bidding in order for you to budget accordingly.
Moreover, unlike a conventional property purchase, where the purchaser will have plenty of time prior to exchange to do their due diligence, a buyer at auction becomes legally bound once the hammer goes down to complete the purchase within so many days, usually 28, regardless of any hidden problems.
What we do for our clients
At Farnworth Rose Solicitors we have decades of experience in helping clients buy property at auction, including undertaking thorough reviews of auction legal packs within a quick turnaround time and preparing a summary based on the findings from the documents provided.
Equally, in cases where the documentation is insufficient for a client to make an informed decision, especially where a property is being sold following a repossession, we will flag the missing documents and can undertake searches to help secure the information needed. In this way, our expert team of solicitors have helped hundreds of clients to successfully bid on property with the peace of mind needed that any legal risks have been uncovered.
How we can help you
If you are looking to buy property at auction, being able to secure expert advice within a short space of time is essential to making an informed decision. Equally, if you are looking to sell at auction, you will need to have a legal pack prepared well in advance.
For prospective bidders, we understand the importance of cost and turnaround times when it comes to buying at auction. As such, for a fixed fee starting at £300 + VAT for a freehold property, and starting at £450 + VAT for a leasehold property, we are able to review and report on the auction legal pack, typically within a period of 4 working days*. Having successfully bid on a property, we are also able to undertake a full pack view for an additional fee.
For prospective vendors, we can prepare the pre-auction legal pack itself, the cost of which is typically covered by the buyer on completion under the terms of the sale.
How you can contact us
For expert advice and assistance on auction pack reviews, call Farnworth Rose today on 01282 695 400 or complete the form below and we’ll be in touch.
* This timescale is subject to availability and may vary based on demand. In some cases, where we need to prioritise clients with earlier auction dates, your report may take longer than 4 workings days from the date on which you provide us with the auction legal pack.
