3 Vital Terms to Know Before Buying a House at Auctions

Are you thinking about buyinga house at auction in the UK?  Before proceeding with your plan, you  should know about the following three things:

• What exactly a house auction is:

House auctions are a public event used as a medium to sell or buy residential properties. A lot of houses go under the hammer at residential property auctions. You have to be very careful and strategic while bidding on a house that you are interested to buy in.

•  The Guide Price in Auctions:

Before you attend London property auctions, it is important that you know about the guide price at auctions. It is the minimum amount of money that the original owner of the property will accept as the winning bid during the auction. It is a way to prevent investors from buying property at auction at lower price than the owner of the property will accept.

•  Reserve Price at Auctions:

This is somewhat different from the reserve price in an auction. It is the minimum acceptable price of the residential investment property for sale below which the seller/owner is not allowed to sell. It could be easily 10% or even 15% more than the guide price of property. It remains as a top secret between sellers and auctioneers. They do not prefer disclosing it.

Thinking about residential property at auctions in UK? Attend our propertyseminars and learn about such important things before proceeding with your investment plans.