Selling a property at auction: What happens on auction day?

If there’s one thing we can promise our sellers wholeheartedly, it’s that the process of selling a property by auction is every bit as fast and fuss-free as you’d expect it to be. We know that, for first-timers especially, choosing the auction route can be a little intimidating, which is why our friendly and experienced team of auctioneers are here to guide you through how to sell at auction. 

If you’re considering taking part in one of our Upcoming Auction Events as a seller, and want to learn more about the process before getting in touch for your free property valuation, you’re in the right place. Stick with us as we break down in detail the preparation tasks that need to be completed, a run-through of what to expect on the day of the auction itself, and the loose ends that get tied up once the hammer falls. We’ve also included some related frequently asked questions at the end of this advice page so you have all the information you need to decide whether or not an auction sale is right for you.

What needs to be done before the auction?

When selling by auction, there are a few preparatory steps that need to be taken before you can see your property added to our auction catalogue ready for potential buyers to consider. Fortunately, you’re not alone on anything, and our team helps keep everything running smoothly with personalised guidance on all of the following:

1. Property valuation & market assessment. First and foremost, you’ll need to request our completely free, no-obligation valuation to help you see what your property could get at auction. We don’t do this by halves and steer-clear of automated estimates. Instead, one of our valuers will manually review the property, area and any influencing factors to ensure an accurate valuation. 
2. Auction and sale method agreements. When selling with SDL Property Auctions, you have a few options to choose from to make sure that the sale suits your needs and priorities. First, you’ll pick which type of auction you’d like your property sold in, with your options being our Auction Events, Timed Auctions or Buy It Now Auctions. Next, you’ll choose whether to sell conditionally or unconditionally. Finally, you’ll need to agree on a reserve price and a guide price for the property. Don’t worry if any of these terms are unfamiliar to you, however, as we’ve got plenty of extra information in our full Guide to Selling at Auction, and our auctioneers will provide tailored advice as you move through the process.
3. Contact a solicitor. Lastly, you’ll need to have a solicitor to represent you from a legal perspective for the sale. Their responsibilities include preparing the necessary documents, including the auction legal pack, before the auction, and assisting with completing paperwork once a winning bid is made.

That’s it as far as pre-auction tasks go! Once you’ve finalised all your choices, and instructed your solicitor to take care of creating the legal pack in preparation of the sale, you can sit back and relax as we handle all of the marketing and advertising elements involved. We’ll take the pictures, host viewings and get your property seen by as many people as possible to increase interest before the auction day comes around. 

What happens on the day of the auction?

With all of the preparations complete, and our team working hard to find potential buyers for your property, auction day will come around before you know it. At SDL Property Auctions, we host our Auction Events on the last Thursday of each month, and the whole event is live-streamed online for the convenience of both our sellers and our buyers. From start to finish, this is what you can expect:

1. Check the auction day catalogue. Before every auction, we have the catalogue ready to view on our website which includes all details about the flow of the day, the lots available, and the order of sale. You’ll see your own listing here too, with your agreed guide price visible for interested buyers to consider.
2. Watch the live auction… or don’t! Since our auctions are live streamed, you can follow along and watch the bidding process – but it’s not essential. Whether you watch or not, we’ll contact you following the auction with all relevant information so you’re kept up to date with the latest status of your property.
3. Complete the sale. Once the winning bid has been placed, and the hammer has fallen, we’ll sign the paperwork on your behalf so nothing is held up. The exchange of contracts will then be complete for unconditional sales, or the reservation period will commence for conditional sales. Regardless of the chosen sale method, we’ll get the next steps started for completion by processing fees and sharing paperwork with your solicitor. 

What happens if the property doesn’t sell?

Of course, while this isn’t the ideal outcome from an auction day, there’s always the chance that your property won’t sell, whether that’s from a shortage of interest or failure for bids to reach past the undisclosed reserve price. If this is the case for you, it’s not the end – we will continue to market your property as an unsold lot, liaising with all interested parties to try and secure a post-auction sale. If this isn’t possible, however, there are still options available including re-listing the property in the next Auction Event, or changing the type of auction or reserve price. Rest assured, you’ll still have the full support and attention of our team, and that we’ll be in touch following the auction to walk you through your options and put next steps in place.

What if I get an offer before the auction?

In some cases, our auctioneers may be approached by buyers prior to the auction with an offer for immediate sale. Should this happen, we’ll pass the offer onto you and leave it up to you on whether or not to accept the offer and proceed still under auction conditions.

What happens after the sale?

Following the auction day, the rest is in the hands of your and your buyers’ solicitors to complete the sale and hand the keys over. How long this takes will depend on the method of sale, as conditional sales typically allow for 60 days, while unconditional sales are kept to 30 days. 

What if the buyer pulls out?

It’s very rare for sales to fall through once the hammer has fallen, and as the seller, you’ll have legal protections in place in case the buyer does pull out at the last minute. Should this happen, however, you can expect to keep the deposit paid by the buyer on the auction day (if you’ve chosen the unconditional sale method). If a conditional sale falls through during the reservation period, the buyer will lose their fee, and you will have the right to sue them for any costs or losses incurred.

Can I withdraw if I change my mind?

Just as sellers are protected from buyer drop-outs, so too are buyers protected from seller withdrawals. This is only true after the hammer has fallen, however, and you are well within your rights to remove your property before the auction commences if you do have a change of heart.

Ready to sell your property?

If you think auctions might be the right way to go for selling your property, you can start the process immediately by requesting a free, no-obligation valuation on your land, commercial lot or home. Once we’ve looked into the property, we’ll be in touch to discuss your selling options. 

Alternatively, if you still have concerns about whether or not auctions are for you, you can reach out to our experienced team for personalised advice by email, phone (0800 046 5454) or live chat.