The London property market is notoriously pricey, and in some areas, average house prices are prohibitive. However, there are ways to locate great bargains in the capital, providing you know where to look.
An excellent place to start your search is at London property auctions. Buying a house at auction means that you can save substantial sums of money on your purchase – providing you’ve got the right level of know-how. Here’s a useful guide, explaining what to expect at property auctions in the city – and how to find the best buy-to-let property for sale.
Getting Great Results at London Property Auctions
- Locate property auctions. Before starting your search, you’ll need to know where the key auction houses are; and most importantly, when they’re holding house auctions. You should be able to find this information online – or alternatively, ask a property investment agent in London, who will fill you in on the details.
- Obtain catalogues. London property auctions will always have catalogues available, detailing the houses in their forthcoming auction sales. Make sure you obtain a copy of their catalogue, so you can access details about the buy to let properties for sale.
- Arrange viewings. Some bidders will attend house auctions without having viewed the properties first. However, this is a risky strategy; as it’s almost impossible to tell what a property is like without seeing it ‘in the flesh’. Unless it’s a new-build, it’s also recommended that you arrange a survey, if you’re serious about putting in a bid.
- Be prepared for competition. London is one of the most famous cities in the world, and is also a key global business hub. As a result, competition for properties is likely to be fierce, and you should be prepared to come up against plenty of seasoned property investors. However, don’t be daunted by this prospect. With the right expertise, there’s no reason why you can’t secure a great bargain. If you’re worried your knowledge isn’t up to scratch, attend a property investment seminar in London.
- Know the legalities. When you express interest in a property to the auctioneers, you’ll often be given a legal pack, which may contain legalities that have implications regarding the property. If you don’t understand anything, hire a solicitor to explain it – as it may affect the value of the house.
- Get your finances in order. London property auctions, like any other house auction in the UK, require a 10% deposit on the day, if you’re the successful bidder. You’ll also need to pay the remainder within 28 days. If you’re planning to finance your purchase with a mortgage, make sure you’ve got it agreed in principle before bidding.
- Bring ID. Be aware, when buying a house at auction, you’ll need to supply some form of ID. You’ll also need to register upon arrival.
- Set your budget. London auctions are great places to get a bargain (often as much as 20% off the market value) – but equally, properties often go for far more than the auctioneer’s guide price. Establish a budget before bidding, and stick to it.
The Buy2Let Shop in Bromley
If you’re buying a house at auction, and you’d like help with the process, talk to The Buy2Let Shop. We’re a team of property investment agents in London, and we’re on hand to help you identify the ideal buy-to-let properties for sale, within your specified budget.
We also have several property investment opportunities not available on the general market, plus regularly host property investment seminars in London, to help broaden your knowledge of the industry. For more information, simply visit The Buy2Let Shop site today.