A Private Treaty sale is the legal name for an open market sale where a sale is negotiated usually via an estate agent between buyer and seller. Once a price is agreed solicitors are instructed and all parties work the sale through to exchange and completion. There are no reservation fees or timescales on a private treaty sale but this can cause completions in excess of 100 days and a c. 30% fall-through rate. All auction sales have an end date and once the auction closes and an acceptable bid is agreed, then a reservation fee is typically paid to secure the property or the property exchanges which reduces the fall-through rate to c. 5%. This gives buyers and sellers speed and security with fixed completion timescales; typically 28 days for traditional auction and 56 days for modern method of auction.

Once an Auction Pack has been completed and signed off, your Auction Specialist will discuss potential end dates for your property auction with you. This will be dependent on the level of interest created whilst the property has been in Pre-Auction Marketing stage (PAM). The length of auction cycle is dependant on interest levels, and usually this will be between 2-14 days. This enables us to ensure the time that your property is live is bespoke to your situation. You can tell how much time is remaining on your property's auction on the website or by speaking with your Auction Specialist.

An attractive starting bid increases interest and encourages competitive bidding between prospective buyers, which can help to drive up the final selling price of your property. Auction is for those sellers who are looking for the additional benefits of speed and security so pricing strategies are designed to help your property sell quickly, however you always have control with your undisclosed Reserve Price (the minimum amount you are prepared to sell for which means if no bids meet this, your property does not sell).

Should a property not sell in the first cycle of auction it is relisted for a second period. We can run as many auction cycles as it takes to successfully find a bidder. You can withdraw the property once the 60 day sole selling rights has expired with no charge to yourself.

If your circumstances change, you should discuss this with your Auction Specialist as soon as possible, who will be able to advise you of your options. If you do need to withdraw your property from sale at auction you need to give 21 days written notice. If withdrawal is completed within your minimum 60 day contract period, you may be liable for auction fees. If an auction has been completed and a sale has been agreed and you wish to withdraw from the sale, you will likely be liable for auction fees as detailed in your auction contract. If you have any concerns, you should always discuss these with your Auction Specialist.

Auction is best suited to those not in a chain. You need to ensure you are able to complete the sale within the timescale detailed in the auction Terms & Conditions. When you agree to sell your property at auction, you sign an auction contract, legally agreeing to adhere to these otherwise you are at risk of breaching the terms of the auction contract which is likely to have financial implications.

Medway Law are the sister company to the auction department, set up to deal with and specialise in auction sales. The team at Medway have been set up with the key milestones in the contract in mind and will offer you the best opportunity at a speedy and secure transaction within your contractual timeframes. As Medway Law prepare your Auction Pack for the property, they have existing knowledge of the property’s background which helps in providing a smoother conveyancing process You can use the free InCase App to keep up to date with progress and sign important documents from the comfort of your own home to save time and get your sale moving as quickly as possible.

An Auction Pack is legal requirement when selling at auction and is a collection of legal documentation assembled to give any potential purchasers and their solicitors enough information to make an informed decision on whether to bid on a property. It is very similar to the work undertaken by a solicitor during the conveyancing process on the open market. By collecting this information upfront it reduces the risk of a sale falling through by identifying issues earlier, speeds up the time taken from a sale being agreed to completion and also gives buyers the confidence to bid and reserve a property. Documents include: Title Register, Title Plan, Property Information Forms, Fixtures and Fittings Forms, Local and Water Searches, EPC and any additional documents such as Epitomes of Title(Unregistered properties), Grants of Probate, Powers of Attorney, etc. For Leasehold properties a Management Pack is also provided additional information that may be need.

A management pack provides important information regarding a leasehold property. The pack is obtained from the freeholder or their managing agent. The pack contains information on the management of the freehold, ground rent, service charges, any planned future renovations, buildings insurance and other relevant information to ensure the buyer is aware of any responsibilities should they proceed with the transaction. It also contains information required by the buyer to transfer ownership.

It's important that negotiations are carried out by the Partner Agent and iamsold whilst you are under contract and there a number of reasons for this. As the seller, if you accept an offer privately, you will become liable for the auction fees rather than the buyer due to the terms of the contract. Our sale methods are designed to provide commitment and security to both parties, and it is likely that you have chosen this method of sale for those specific reasons. Our aim is to help you sell your property so we will work with any interested party if they are unsure about auction, so that we can try and agree a sale for you.

This type of agreement is typical with properties marketed under auction terms. Sole Selling Rights means that the property can only be marketed and sold through iamsold and our partnered Estate Agent for the duration of the contract. If the property was to also be marketed under different terms by any additional agents then this is likely to damage your marketing and encourage buyers to avoid the auction terms, and commitment that you have chosen as a seller for very specific reasons. There is also a strong possibility that you could make yourself liable for 'multiple' agency fees.

Should an auction end with the highest bid being below your reserve, then your Auction Specialist will still discuss this with you and you could, if desired, accept this bid should you wish.

With the Modern Method of Auction; the bid binds the buyer to pay a Reservation Fee and sign a Reservation Agreement. It does not bind the buyer to buy the property but instead allows them to reserve the right to exclusively exchange contracts on the property at an agreed price within 56 days of the draft contracts being received by the buyers solicitors.

Generally the advice when faced with this scenario is to allow the auction run to help you achieve the best price possible. However, your Auction Specialist will be on hand to offer the best advice. If you decide that a offer is acceptable to you then a deal can be agreed prior to the auction ending. Your buyer will still be bound by the Terms and Conditions of the auction.

This is the minimum price that you agree the property can be sold for. This figure is confidential and is not disclosed to interested parties, however as a guide the reserve is generally no more than 10% in excess of the Starting Bid. The ideal scenario is to generate enough interest to exceed the agreed Reserve Price, however, you must be comfortable should this be the highest achieved.

With every auction there is a Starting Bid. This is the price published for each property and confirms the level at which the bidding is suggested to begin. Starting Bids are for guidance only, they are not the price that the property is being sold for. Each Starting Bid has a corresponding Reserve Price.

Not at all. Each property has an undisclosed Reserve Price, this is the minimum amount that you agree that you are willing to accept for your property. Only the Starting Bid and any bids received are visible udring the auction as the Reserve Price remains confidential. If the Reserve Price has been met, or exceeded, then you are obligated to sell the property upon conclusion of the auction. Please note, should you decide not to proceed with a sale at or above your Reserve Price then you may be liable for any contracted fees.

If you are looking for a sale with more security or need to sell quickly, then auction is certainly worth considering. Due to the quicker timescales involved, if you are likely to be in a chain, i.e you are moving on it is unlikely auction will be right for you.