AUCTION SALES

Our Bushey Office completed on a sale this week that we agreed in conjunction with the Auction House we partner with, SKB Auctions. It’s a common query we get in relation to the merits of selling via this route – Does it work? How secure is it?
 
My own view is that it can be highly effective, but tends to be suited to particular types of property. The auction houses will argue you get the ‘real’ market value of a place but I don’t know I buy that. You get the ‘real’ value that a room typically filled with cash rich buyers will offer and that isn’t always the best market price. Many of these buyers are looking for investment potential, either rental or doing up and selling on, and are unlikely to pay the same amount someone with more emotional attachment looking for a home to live in might pay. Not too many of this type of buyer look via this route as they are nervous of an environment they don’t fully understand and are therefore uncomfortable in. Those fears may well not be merited but respecting the fact any purchase will be hundreds of thousands of pounds, you can appreciate why people are wary.
 
That’s not to say this route isn’t effective. In fact property that needs a fair amount of work may well be better sold this way. Here you often get private buyers idealistic about what they can do with a house, but very often put off as soon as a survey lists the extent of the work required in black and white. Thus expensive and frustrating abortive transactions become commonplace. The beauty of the auction route here is twofold; a) This type of buyer has much more realistic expectations of work required and b) They have to exchange contracts on the day of the auction guaranteeing the deal goes through.
 
If you would like to know more about buying or selling via an auction in the Bushey / Watford area please call me on 01923 630844.