How to Buy an Unsold Auction Property?

We are often asked the question by potential buyers of “how to buy an unsold auction property?”. Properties that don’t meet their reserve price are withdrawn from the auction. However, they are again made available to interested buyers right after the auction ends, so that they can still make post-auction offers and buy unsold properties at agreeable rates.

Auction hammer

Check Auction Results Online

If you did not attend an auction, but you are interested in buying unsold auction properties, you can check which properties are still available for sale on the internet. Many auction houses share the results of the auction when it ends on their websites.

In these results, they explain which properties were sold and at what rates. In addition to this, they also share a list of unsold properties.

What Happens to Unsold Properties at Auction?

Properties whose reserve price is not met are withdrawn from the auction. But they are again made available for sale after the auction.

A seller may share the reserve price (the minimum price they expect to receive from the buyer) with potential buyers, which they don’t share with them before the auction.This is done with the hope of agreeing a sale.

Buying an Unsold Auction Property

If a property has not been sold at auction, chances are it will be listed again on the auction house website under the ‘unsold auction property’ category. If you were interested in a property, but could not buy it during an auction, you will have a second chance to get your hands on the property by negotiating with the seller.

You can visit the auction house's website and request them to send you the legal pack or arrange a viewing for the property. You can ask them any questions you have in mind before you make a final decision.

Do You Still Have to Pay Auction Fees When Purchasing an Unsold Auction Property?

Yes, buyers have to go through the same process as buying a property in the auction room. They have to pay an auction fee, which is clearly written on the lot listing. You should also read the legal pack carefully to determine if you need to pay any additional fees or not.

Things You Need to Remember When Buying a Property at Auction

If you are planning to buy an unsold auction property, here are the things that you need to remember.

  • You should always try to have an onsite examination of the property before you decide to buy it or not. An onsite inspection helps find the defects or issues that are not mentioned on the listing.
  • Bring a broker or real estate agent with you when you go for the property inspection. They have more knowledge and experience. They can better inspect the property and inform you whether it is worth the investment or not.
  • Many unsold auction properties are sold quickly after the end of the auction. It means you don’t have a lot of time to make a decision. Make sure you’re on the ball!