Buying Property at an Auction
Auctions are becoming very common in Ireland as banks and sellers are trying to get rid of houses
Here is some useful informatin about property auctions in Ireland and how they work.
The ‘reserve price’ is the lowest price that the seller is willing to accept for the property.
If the bidding does not reach the reserve price, then the seller is not required to sell the property
It is important that you obtain independent legal advice before bidding on a property at an auction.The vendor’s solicitors should prepare legal packs containing (where applicable) Building Energy Ratings (BERS), special conditions of sale, title deeds, leases, office copy Land Registry entries, searches and replies to pre-contract enquiries.
These may be available to download from auctioneers websites or from the vendor’s solicitors. These documents should be passed to your legal adviser. They will help you make an informed decision about the lot. Legal packs will usually be available for inspection in the auction room. Remember that you buy subject to all documentation and terms of contract whether or not you have read them.
Things to bring with you:
Cheque book with at least one cheque for each lot. Usually cash nor credit or debit cards are accepted Identification – your driving licence or passport (for photo ID) and utility bill or bank statement (for proof of your address)
Details of the solicitors you intend to use
On the fall of the hammer
When the hammer falls, if you are the highest bidder, you will have bought the property lot and a legal and binding contract will have been formed.
Properties at auction are not sold ‘subject to contract’, ‘subject to finance’or ‘subject to survey’ when you buy at auction. They are sold unconditionally. If you are the successful bidder, you are legally obliged to complete the sale.
