On commercial property auction day, there are various important factors worth remembering to ensure everything runs smoothly. Read on to find out how to attend and bid at auction and information on the deposit payment required on property auction day.
On auction day it is important not to overlook a number of key issues. Following this simple checklist prior to the start of the auction, will ensure that everything runs smoothly and you are able to bid for the lot of your choice with peace of mind.
1. First of all It is vital that you don’t forget to take your cheque book or other accepted method of payment as you will be required to pay a deposit if your bid is successful.
2. You must ensure you have two forms of identification. One of these must include photo ID so either a passport or driving licence would be ideal. The other must be either a utility bill or bank statement confirming your current address.
3. You will also need to be able to present details of your solicitor.
4. On arrival you should consult the Order of Sale to ensure that the property or properties you are interested in have not been withdrawn from the auction. This can also be done by telephone prior to setting out, which could save you a wasted journey.
5. Finally, it is important to check the Addendum in case any changes have been made to the Conditions of Sale.
It is a good idea to arrive early in order to secure a good position where the auctioneer can see you clearly. You may opt for a strategic position to evaluate other bidders in the room
When the auction begins, the auctioneer will announce each lot and invite bids. You can indicate a bid by raising your hand, a copy of the catalogue or a paddle with a number on it issued to you by the auctioneers staff. Remember, once the hammer falls you are legally bound to complete the sale so if you have any doubts don’t bid.
If you are the successful bidder you will be required to provide the details and documentation listed above. Finally, you will be asked to sign the memorandum of sale and pay the deposit which is usually 10% of the cost.
If you are unable to attend on auction day you can bid remotely by prior arrangement. This can be done by telephone or by proxy. In the case of telephone bidding, the auction house will call you prior to the opening of bidding on the lot of your choice.
If you choose to bid by proxy, you will be asked to submit a maximum bid in writing and the auctioneer will bid on your behalf. Some auctioneers also have the facility to bid online.
In all cases a completed registration form, proof of identification and a blank cheque or deposit transfer to cover the deposit will be required in advance. Often a remote bidding registration form will be available to download from the auctioneer’s website. Alternatively, you may find a copy in the printed catalogue.
Previous Article
Making an Offer on a Property Prior to Commercial Auction
