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Landlords see auctions as a bargain

ARE property auctions a viable alternative to Landlords in the current economic climate? According to a new survey, just over a third of people in the industry would recommend that vendors consider auctioning their properties. Regionally, responses were varied with between 57 and 71 per cent of the respondents (predominantly) in the south of England saying they would recommend auctioning properties as an alternative to the traditional selling route. In the South West, North West and North of England less than 25 per cent of said they would recommend an auction to people looking to sell their home. People were also asked if over the past six months they had noticed an increase in properties going to auction. Nationally, just under 40 per cent said that they had seen an increase with Wales reporting the greatest rise, followed by East Anglia and Greater London. The North and North West regions reported that auctions were up by around a third compared to figures six months ago. Of those who had seen a rise in the number of properties in their area that went to auction, 46 per cent said it had been an increase of less than 10 per cent. As far as Landlords are concerned buying at auction can not only avoid last minute hitches but also offers some Bargain Properties to add to their buy to let portfolio. When the auction ends and the hammer falls, the contract is legal and binding and the person purchasing has to pay a 10 per cent deposit with the balance of the payment usually due within 28 days.

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