| **You are free to reprint this article free | | | | |
| of charge as long as you include the resource | | | | It's similar to a large composite, only on a |
| box at the end. | | | | smaller scale. |
| | | | |
| Did you know that every year thousands of UK | | | | Small composite - Offer between 2 to 5 lots |
| properties are sold atsignificantly below | | | | and will attract upto 5bidders. The likely |
| market value? The majority of these | | | | venue is likely to be somewhere like a |
| properties arereleased through property | | | | pub,restaurant, church or small hotel. Small |
| auctions where regular savings of between | | | | auctions will generally followa theme - for |
| 10%to 40% are available to market value. Even | | | | example the properties involved may have been |
| so, property auctionscontinue to be used only | | | | part of abigger group (such as a portfolio of |
| by the elite and for the astute buyer | | | | properties owned by one company)who believe |
| investorthis generates a fantastic | | | | the best returns will be obtained by offering |
| opportunity to secure a dream home | | | | the propertiesfor sale individually. |
| goodinvestment at bargain basement prices. | | | | |
| | | | Single lot - usually for a property that is |
| For example, at a recent auction a studio | | | | in great demand. |
| flat was sold in London for amere £9,000. | | | | |
| In another, a 2 bed flat right on the south | | | | IDENTIFYING AUCTIONS |
| coast with amarket value of upto £100,000 | | | | |
| sold for just £14,000 at auction. Andthose | | | | Auctions aren't as easy to find as you might |
| are just a couple of examples of the bargains | | | | expect. Traditionallyauctioneers get more |
| that people do findat property auctions. | | | | than enough interest from in-the-know |
| However it's also important to know the | | | | regulars sothey don't need to spend much |
| potentialissues and problems when dealing | | | | money on costly advertising to the public. |
| with auctions and to understand exactlywhere | | | | |
| the best deals are available. If you're | | | | Here's where the list of auction houses that |
| interested in getting intothe world of | | | | comes with this guidebecomes invaluable. |
| property auctions the below tips & tricks of | | | | There are details on each auction house |
| the tradeshould be very helpful. | | | | includingwhich area the auction house covers. |
| | | | Go through the list and identifyones, which |
| TYPES OF PROPERTIES FOUND AT AUCTIONS | | | | cover the areas you are interested in. Then: |
| | | | |
| My Online Powerpack Newsletter Subscriber | | | | Phone the auction house and ask them when |
| Site | | | | their next auction is likelyto be held. |
| | | | |
| UK Property Auctions Home Contact | | | | Ask them to put you on a mailing list, which |
| | | | details forthcomingauctions. Some may charge |
| The following is a guide to help anyone | | | | a small fee for this, others offer the |
| unlock the value availablethrough UK Property | | | | servicefor free. |
| Auctions. Thousands of homes are available at | | | | |
| anygiven time with property auctions, most of | | | | Prepare a list of questions for each auction |
| which are sold at prices farbelow market | | | | house you contact. Theseshould include: |
| value. However it's important to know the | | | | |
| potential issuesand problems when dealing | | | | Do you have a mailing list? |
| with auctions and to understand where | | | | |
| thebiggest bargains are available. Details of | | | | How long do you keep people on your mailing |
| thousands of cheap,repossessed & auction | | | | lists and can you let meknow if I am about to |
| properties are also available at Property | | | | be removed? |
| Auction | | | | |
| | | | What type of properties do you auction? |
| Bargains. | | | | |
| | | | It may also be worth subscribing to certain |
| Its perfectly reasonable to expect to pay | | | | pedigree property magazines. |
| between 15% to 40% less for aproperty at | | | | |
| auction than you would for the same property | | | | These include Property Auction News, Under |
| through anestate agent. For example, at a | | | | The Hammer and Property Week. |
| recent auction a studio flat was sold in | | | | |
| | | | Local newsagents usually carry these. |
| London for a mere £9,000. In another, a 2 | | | | |
| bed flat right on the southcoast with a | | | | THE INFORMATION AN AUCTIONEER WILL PROVIDE |
| market value of upto £100,000 sold for | | | | |
| just £14,000 atauction. And those are just | | | | Obviously they will provide the details of |
| a couple of examples of the many bargainsthat | | | | the properties going underthe hammer at their |
| people find at property auctions each and | | | | auctions. These tend to be more detailed than |
| every week. | | | | thesnippets given by estate agents (there are |
| | | | laws such as the Property |
| TYPES OF PROPERTIES FOUND AT AUCTIONS | | | | |
| | | | Misdescriptions Act 1991 which make it |
| Repossessions - Sadly for the previous | | | | illegal for auctioneers to givefalse |
| owners, repossessions can oftenbe picked up | | | | information about a property). On the whole, |
| at bargain prices through auctions. | | | | for any given lotthey will provide: |
| | | | |
| Investment properties - Properties, which are | | | | Location |
| valued due to the returnon investment that | | | | |
| they provide. Includes everything from | | | | Construction details |
| individualoffice/shop investments to blocks | | | | |
| of flats. | | | | Tenure (e.g. freehold) |
| | | | |
| Rundown properties - Auctions are great | | | | Accommodation details (e.g. 3 bedrooms etc) |
| places to pickup properties thatare | | | | |
| unsaleable in their current state. The | | | | Notes (e.g. refurbishment required) |
| attraction here is if you canget such a | | | | |
| property in a good location at a cheap price | | | | Viewing details |
| it's perfectlypossible to refurbish and | | | | |
| resell on at handsome profits. Indeed | | | | Solicitor details |
| thereare individuals and organisations that | | | | |
| make their living doing this. | | | | Auctioneers usually publish a catalogue with |
| | | | the lot details - this is abook detailing the |
| Unsaleable properties come under the | | | | various properties available at auction. |
| following categories: | | | | These willusually be available a month or |
| | | | less prior to the auction date. |
| Derelict or in derelict areas. | | | | |
| | | | IDENTIFYING REPOSSESSIONS |
| Subject to severe disrepair. | | | | |
| | | | Some banks/building societies can be sheepish |
| Subject to local authority notices. | | | | about revealing that theyare selling |
| | | | repossessed properties so you need to be |
| Subject to closing orders. | | | | alert in theauction for clues. Auction |
| | | | adverts may reveal that a bank may be |
| Offered with ambiguous legal titles. | | | | theseller of a number of properties, or the |
| | | | auction catalogue may state aphrase such as |
| Sold without access. | | | | 'on instruction of a liquidator' or something |
| | | | similar -this should tell you that the |
| Sold with major fencing, paving, drainage or | | | | property being sold is a repossession. Ifyou |
| other similarresponsibilities. | | | | are unsure, ask the auctioneer directly if |
| | | | the lot being offered isa repossession. |
| Sold subject to covenants or restrictions, | | | | |
| which prevent normal use. | | | | FINDING PROPERTY AUCTIONS NEAR YOU |
| | | | |
| Exceptional properties - Include ones that | | | | There are several thousands of properties |
| have historical meaning andplots which 'get | | | | available for auction at anygiven time all |
| in the way' of major development projects. | | | | over the UK. It's important to understand how |
| | | | auctionswork before purchasing a property |
| TYPES OF AUCTION | | | | from one. To find out where you canget hold |
| | | | of a list of UK property auction venues and |
| Large composite - Tend to have over 100 lots. | | | | websites of auctionproperties for sale take a |
| Expect well over 300people to attend and the | | | | look at my resource box below. I wish |
| venue to be held in a large hotel or | | | | youevery success in finding your dream |
| conferencecentre. Large composite auctions | | | | bargain home at auction |
| are likely to be run by a singleauction | | | | |
| house. The type of property may be restricted | | | | ******************************************** |
| to just one (e.g.vacant possession houses, | | | | ************************** |
| factories, warehouses etc) or may be a | | | | |
| mixtureof different types. | | | | Find 30,000 Dirt Cheap UK Properties At |
| | | | Auction Immediately: |
| Medium composite - Have between 5 to 100 lots | | | | |
| and will typically attractbetween 200 to 500 | | | | Subscribe to the Online Powerpack newsletter |
| people, most likely in a hotel or conference | | | | & discover the biggestdiscounts available |
| centre. | | | | anywhere for just about everything! |