Would you like to move quickly and sell your property for 0% commission?
We can also offer a quick and easy alternative means of selling property via the Modern Method of Auction. Traditionally a market limited to cash ready investors with lower value properties, the Modern Method has evolved auctions to be inclusive to a wider variety of buyers and sellers. It doesn't mean selling for less either....
It offers fixed yet realistic timescales (an average 28-56 days) to accommodate the typical residential buyer looking to arrange a mortgage. With the Modern Method, the successful buyer can reserve their property until exchange of contracts. This allows buyers and sellers alike, the time to arrange their finances and carry out due diligence. This means it isn't isolated to properties of a lower value but provides the speed and guarantee many people moving are looking for...
What is the difference between modern method and traditional method auction?
Modern method auction (also known as the “Conditional” method) offers the speed, transparency & security of a traditional auction but with more flexible timescales of up to 56 days to complete. This enables more open market buyers to purchase with a mortgage rather than restricting to investors only. As the buyer commits to purchase through a non-refundable reservation fee & agreement there is more security through the process.
The Traditional method of auction (also known as the “Unconditional” method) is typically more suited to vacant properties or those not suitable for a mortgage as they don’t meet lender requirements. Therefore, market is limited to only cash and investment buyers. This method gives complete security as the buyer pays a 10% deposit at the end of the auction alongside an exchange of contracts with up to 28 days to complete.
Are buyers comfortable using this method?
In the past, auctions were associated as a disposal method for lower value and run-down properties. However, with the explosion of internet usage and people’s familiarity with platforms such as eBay, this is no longer the case. Online auctions provide both buyer and seller with unlimited access to the process giving a sense of control and transparency with the guarantee of a completion in a quicker timescale.
How does it work?
- Speed – There are fixed timescales for a transaction, with a completion within 56 days from when the contract is signed following the auction. This allows sellers and buyers to proceed confidently.
- Transparency – The modern method of auction process and bidding is visible to all involved parties. Buyers are provided with a detailed auction pack on the property before the auction allowing them to make informed decisions including title plans, local searches, fixtures & fittings form and more.
- Security – Modern method of auction offers a completion rate of 95% compared to the current 70% rate of private treaty sales. Buyers pay a reservation fee or deposit at the point of sale, providing all parties with confidence and peace of mind
- Online - Innovative technology allows bidding activity online 24/7 with all property documents available to view online
- Pricing - We will discuss and agree a Reserve Price- this is not disclosed to the buyers and the property will not sell for any less than this amount. We will also agree a starting bid, which tends to be lower than actual market value to generate maximum interest and competition for the property.
Benefits to the seller
- Access to a wider range of motivated buyers for their properties
- The seller sets a reserve price to ensure a minimum sale price giving a level of security the house will not be sold below that value
- Quicker sale of 56 days to complete, gets everything moving quicker
- Buyer pays a deposit and signs an agreement providing more certainty vs. Private Treaty. Buyers are committed, so less likelihood of a sale falling through
- No sale, no fee
- 0% commission
Benefits to the buyer
- A sales pack with a full survey is available to all interested buyers to assess the condition of the property before entering the process
- The auction is a live online process with 24/7 access to watch the activity and make a bid.
- There is full transparency in the process. The auction has a set time period, once that is finished with a clear 2 minutes of no one else bidding, the highest bid (as long as it meets the reserve) wins. There is no possibility of a buyer being gazumped.
- The progression is overseen by a panel of specialist experts so from successful bid to completion is fast and efficient.
