Report a maintenance issue
When it comes to selling your current property, auctions might not be the first idea that comes to mind… The truth is that online property auctions are a great way to sell properties and we’re here to tell you why.
An introduction to the world of property auctions
Before you start humming the Antiques Roadshow music, we’re here to let you know that auctions are for more than just antique vases and quirky decor. Auctions, both on and offline are a great place to bag a brilliant property or make a handsome profit on an investment property.
It’s safe to say that 2020 was an ‘unprecedented’ year for everyone as we saw the world as we know it turn upside down. One interesting thing that we noted though as the world turned to the online, is that since the pandemic began, online auctions are becoming a more popular option for buying and selling property.
Not convinced? We have the data to back it up! Did you know that according to Property Reporter, online auction sales at the firm increased by a record-breaking 18% during 2020 against the previous year, with 3,770 UK properties sold? Yes you did read that right – it looks like as the world moves online, property auctions have done well by doing so.
How do online property auctions work?
We’ve all seen property auctions on TV shows like Offspring and Homes Under The Hammer, but taking these online changes the process a bit, yet keeps all the excitement!
Our sister company, Auction House Leicestershire goes a little further than your standard online auction; they conduct amazing livestream property auctions, which involve a livestream of Peter Woodthorpe, an experienced and qualified auctioneer, conducting the sale. These are brilliant as they allow attendees to view, bid on and buy properties, all from the comfort of their own home and behind their computer or phone screen.
Taking part online gives you all of the same benefits of buying or selling as a standard in-person auction including seeing some of the amazing and unique properties that are on the market. The ‘live’ aspect of the auction also means that it is interactive and feels like you’re in the room yourself!
There are several options available to you during these auctions; you can have the option to talk to a member of staff and take part in the auction over the phone, you can do a proxy bid where you entrust someone to do it over a certain price, or you can bid yourself on your device!
How do Unconditional Property Auctions work?
There are a couple of options for how sellers can choose to auction their property online. An unconditional online auction or a conditional online auction. Our sister company, Auction House Leicestershire offers Unconditional Online Auctions, so let’s dive into that a little more…
Unconditional Online Auctions
A main feature of unconditional online auctions is that contracts are exchanged straight away after the online time period for the auction draws to a close. The completion of the sale is usually put at 28 days from this point. This is just another reason that property sellers and buyers love property auctions, as the process is so much quicker than the traditional sales process (and less hassle too!).
Another huge benefit from a potential vendor’s point of view is that after the exchange of contracts takes place, the buyer has to pay a non-refundable 10% deposit, so this means the buyer is committed to your property.
What Happens Before The Auction
However, whether your property auction is conditional or unconditional, all potential online buyers need to supply payment information in advance so that sales can be pre-authorised. This is what stops those without the money they would need for a property to hedge their bets, place their bids, win the auctions and then be unable to pay for the property. We all remember that scene on Offspring where Mick and Billie bid on their dream house without having the funds in their bank…
Benefits of selling at an online property auction
There are so many benefits of selling your property at an online property auction (including the ones we host over at Auction House Leicester). Here are just a few of them;
- They’re super convenient as you can access them wherever you are as long as you have a WiFi connection and a device. After 2020, we think we can all approve of how wonderful it is to do things in the comfort of your own home.
- Selling properties through an online auction allows sellers to achieve the price they have set out for by attracting more buyers than at an in-person auction. Better still, you don’t miss out on the competitive atmosphere that you get at in person auctions.
- With online property auctions, there are fixed timeframes for completion to take place. Because of this, they provide all of the security that potential property buyers and sellers are drawn to. As buying and selling a property can be one of the most stressful events of your life, doing it online is a great way to take the stress down a notch.
- It’s generally a quick and efficient process, as once the hammer falls, the process gets going and buyers and sellers can exchange quickly and easily with little opportunity for delay. For the auction winner, exchanging contracts takes place immediately and then both parties have 28 days to complete (unless otherwise stated in the legal pack).
- Unlike in person property auctions, online auctions allow for 24/7 bidding on properties worldwide. This means that it’s easier than ever to fit buying or selling your home into your busy schedule.
“Online auctions give the best of both worlds-bid from the comfort of your home, safe in the knowledge that you have a qualified auctioneer directing the sale!”
Will Ravenhill, Director at Readings Property Group
Here’s another stat for you! Did you know that according to Property Industry Eye, Auction House London’s livestream auction in May 2021 saw over 1,000 bidders participate, with 115 lots offered and 90% of stock selling under the hammer! This broke all of their previous records and shows that people are enjoying livestream property auctions.
Property auctions in Leicester
If reading this has got you intrigued and excited about the idea of selling your property at auction, you’re in great company!
Here at Readings Property Group, we also run Auction House Leicester so we’re in a great position to help you with everything from putting your property up for auction and offering helpful advice, to being with you every step of the way.
Interested in learning more? Check out the Auction House website for information about the next property auction including when, where and how to get involved.
To conclude
Online property auctions are just one of many ways to buy and sell your property. By taking the traditional in person auction online, there are a whole host of additional benefits from ease and speed to using the competitive atmosphere to your advantage.
If the last 18 months has taught us anything, it’s that moving our day to day activities and events online can be a great way to keep going.
The next steps…
Selling your home doesn’t have to be stressful when you go through us. If you want to talk to our team of highly qualified experts, just get in touch with us today.
If you want to learn more about property auctions, check out our blog post on our website.
