Selling your house or land by online auction is an increasingly popular method for those looking to secure a sale on their property. By choosing to sell online, you’ll be able to sell quickly without any lengthy buying chains and you’ll still be able to achieve a desirable price on your property. This process offers the same transparency as a traditional in-room auction, but may be better suited to your personal circumstances.
If you’re thinking about selling your property by online auction, keep reading in order to find out more about what this method involves and how it could be of benefit to you. If you’re looking to make an enquiry about a property you wish to sell you can do so on our selling page.
What is an online property auction?
At SDL Property Auctions there are two methods of selling online, Timed Auctions, which are open for a fixed period of time and accept online bids until the countdown closes, and Auction Events, which are held on a single day and live-streamed. Both of these options allow for unconditional and conditional sales, though the majority of online auctions will be unconditional, meaning that contracts must be exchanged on the day and the sale completed within 30 days.
Regardless of which selling method is chosen, bidders are required to provide their payment details before the auction. This allows the payment of a deposit to be made immediately upon the close of the auction, giving the seller confirmation that their property has been sold.
How to sell property online
SDL Property Auctions offers transparency, speed, simplicity and certainty when it comes to selling by online auction, and you can sell your property by completing a few simple steps which we’ve outlined below.
1. Get a property valuation
You will need to obtain an up-to-date valuation in order to understand the market value of your property. This will guide you in deciding what price you wish to sell for. To help you get started, SDL Property Auctions are able to offer a free valuation service that will give you an indication of what we might expect your property to sell for at auction, though you might wish to get a market valuation from an independent service to complement the predicted sales price and help you figure out what reserve price you’re comfortable with.
2. Set a reserve price
Setting a reserve price means that you are not legally obligated to sell to the highest bidder unless the reserve has been surpassed, so you’ll never have to sell for an amount you’re not comfortable with.
3. Select a sale method
You’ll first need to decide which method you’d like to use to sell your house online and agree a reserve price with the auctioneer. SDL Property Auctions can offer bespoke advice for you to make the best decision when deciding how to sell your house by auction.
4. Prepare the property
You will need to complete a legal pack for the property you intend to sell which must be uploaded by your solicitors prior to the commencement of the auction to allow potential buyers to learn more about the property. We can recommend our experienced legal partners, or you may use your own solicitors if you wish.
5. Complete the sale
Once bidding has been finished you are legally obligated to sell your property for the full purchase price, and the buyer is legally bound to buy. If either party fails to adhere to this legally binding sale, fees will be incurred to the party that has dropped out.
What happens if my property doesn’t sell?
Once the online auction has ended, one of our team members will be in contact to advise you of the result. Whilst auctions typically have a high success rate, some properties may remain unsold. In this case, we continue to market our unsold properties, and if a post-sale auction is completed, we carry out this transaction under auction conditions.
If you’re considering going to auction and would like a little more guidance, our experienced team will be happy to assist. If you have any further questions about selling your property online to further inform your decision, you can browse through our seller FAQs or contact a member of our team.