Seeing the gavel fall as your property sells at auction is a real thrill. But it’s not just the adrenaline rush that makes this method of sale an increasingly attractive option for many vendors. Rural Surveyor, Lauren Davy, explains why….
Auctions can be a daunting prospect for both buyers and sellers, but have played an important role in how properties have been bought and sold for decades. As a result of COVID-19 restrictions putting a stop to in-room auctions almost overnight, livestream auctions have increased considerably during the past year and played a vital role. However, some sellers have reportedly held out for the return of in-person sales – something Symonds & Sampson are looking forward to in Axminster on 4 November.
So why should you consider selling your land or property at auction?
The sale becomes legally binding, and contracts are exchanged as soon as the gavel falls. No further changes nor negotiations can be made, and the purchaser is required to make payment of a 10% deposit immediately.
Selling at auction is a swift process. Not only is there a set date for when you know you will find a buyer (assuming your reserve price is met), they are then legally bound to complete the purchase within a set amount of time, usually 28 days post auction.
All documentation is made available to bidders prior to the auction, so they know exactly what they’re buying. Buyers can also see who else and how much others are bidding- they will know what they must pay if they wish to secure the property.
The competitive atmosphere of an auction can be a great way of driving up prices for the seller, helping to secure the best possible price for their property on the day. Buyers can bid online, by proxy or via the telephone, and are often tempted to pay more when in competition with other buyers.
Arguably in some situations, there are cons to selling by auction. These may include keeping control of a potential purchaser if for instance you have an interest in retained property nearby. In this case, other methods of sale might be more suitable, our experienced Farm Agency team will be able to guide you to the best method of sale for your property. Contact Lauren on 01305 236571 or visit symondsandsampson.co.uk to find your nearest office.
Image shows 7 acres of land at Osmington which sold by Symonds & Sampson Auction in May at £42,000 p/acre, 141% above guide.