There is still time to find your new home and be in by Christmas, according to property experts, Bamboo Auctions.
Buying a home via online property auctions allows sales to typically complete in less than six weeks, with the average auction transaction time currently between five and six weeks from the moment the auction finishes. This means that if you purchase your new home this week, you should be in your new home before Christmas, ready to put the Christmas tree up.
Buying property through auction provides speed and certainty of sale. Once the auction completes, buyers typically take six weeks to complete the transaction. According to recent research, the average time to sell a home through traditional private treaty sales is 185 days.
Buying a property at auction means that searches and legal packs are already completed by the time the auction happens. This means that the possibility of any delays and hold-ups is greatly reduced. Buyers are charged instantly at the end of the auction, so there is additional security for the seller that the transaction will go through to completion.
Because of this, over the last year, buying and selling property at auction has continued to gain popularity. According to the firm, in the last 12 months to September 2024, it has seen a 27% increase in the number of properties being listed by its agent partners and says that is on track to have its best year yet.
Bamboo shares their five top tips on how to prepare for auction day to ensure you can be in by Christmas:
View the property and conduct research – make sure you know exactly what you are bidding for in the online auction and avoid any surprises once the purchase is complete. Take time to get to know the surrounding area and what similar properties are worth to ensure the property is a good investment.
Seek legal advice – ask a solicitor to review the legal pack to ensure everything is in order. This is well worth the investment and provides additional reassurance that you are bidding on the right property for you.
Register online and complete registration details – once you have decided to proceed on a property, make sure you register through the online portal to ensure all identity checks have been completed beforehand so you are ready to bid before the auction ends.
Get finances in order – many people believe that it is not possible to purchase a property at auction using a mortgage. This is not the case. Ensuring you have your finances in place and a mortgage agreement in principle is essential prior to auction day. A deposit will need to be paid once the auction closes and you will be legally obliged to complete the purchase. Some properties are sold under conditional auction conditions; this gives buyers an exclusivity period during which time they can raise any additional finance that is needed.
Know your limits – ahead of auction day, make sure you do your homework and have an amount in your mind that is affordable. Be sure to stick to this limit at the auction and don’t be tempted to go too far above what you are prepared to pay and what you believe the property to be worth.
Robin Rathore, CEO, Bamboo Auctions, said: “Transaction times for a traditional treaty sale are getting longer and longer. Everyone wants to be in their new home by Christmas. We have seen an increase in properties coming to auction as sellers look for a faster and more efficient way to sell their homes, with more security and certainty that the sale will go through. With recent budget announcements, many sellers are looking to sell quickly, and this may present opportunities for buyers as well.
“It’s more than likely that a property being bought in the ‘normal’ private treaty way will now not exchange before Christmas, the only way to ensure that your transaction goes through before Christmas will be to buy or sell by online auction.
"Changes to rules around second home ownership, the Renters Rights Bill and other tax changes will inevitably cause an influx of properties coming to auction. For those buying, there are potentially some opportunities to be had, so it is well worth keeping an eye out.”