Auction Properties and Legal Packs
Selling properties by way of auction is growing ever more popular and as a buyer, it is important that you understand what you are bidding on before committing to the purchase.
Every property listed for auction should have a legal pack available prior to the auction. This legal pack will include the title to the property, property information forms, fittings and contents forms (where available), searches and any other documents of relevance to the property.
If you are keen to bid on a property it is important you have this pack checked by your legal advisor. Having this pack checked prior to bidding will give your solicitor the opportunity to highlight any potential issues before you tie yourself into an auction contract which may have affected your decision to proceed. If you were to withdraw after you sign the contract, you could lose any auction fees paid on the day and potentially incur additional financial penalties
Some of the things we will check for and advise you on, are: –
- Title defects, for example the property not being properly registered or some part of the property or land not being included in the boundary;
- Potential breaches of restrictive covenants or covenants which may affect your future plans for the property such as a restriction on alterations;
- Issues with known works not having the correct planning or building regulation sign off;
- Issues revealed in the searches, such as unadopted roads, enforcement notices or planning restrictions.
As a seller it is important to include as much relevant information as you can in the auction pack, including (but not limited to): –
- Planning permissions and building regulation completion certificates;
- Any covenant consents;
- Boiler and electrical installation certificates and servicing records;
- HETAS, FENSA and any other installation certificates; and
- Any valid guarantees.
Being as organised and providing as much information as you can, will give your buyer greater confidence in bidding on your property.