bond wolf auctions

eddddy

Doozergirl said:
The only one that loses out is the vendor, who has been duped.  

TBH, it looks more like the auctioneer that's being duped.  The special conditions of sale on the types of lots the OP is talking about say things like:

The Buyer agrees and will pay the Seller's costs and expenses in the sum of seven thousand nine hundred and ninety-five pounds (£7,995.00) in addition to the purchase price which will be payable to the Seller's Solicitors along with completion monies upon completion.

So it looks like the seller gets that the "fee", not the auctioneer. So the property sells for £8k less, and so presumably the auctioneer loses out on their percentage fee.

Doozergirl

eddddy said:

Doozergirl said:
The only one that loses out is the vendor, who has been duped.  

TBH, it looks more like the auctioneer that's being duped.  The special conditions of sale on the types of lots the OP is talking about say things like:

The Buyer agrees and will pay the Seller's costs and expenses in the sum of seven thousand nine hundred and ninety-five pounds (£7,995.00) in addition to the purchase price which will be payable to the Seller's Solicitors along with completion monies upon completion.

So it looks like the seller gets that the "fee", not the auctioneer. So the property sells for £8k less, and so presumably the auctioneer loses out on their percentage fee.

If it's anything like the lot I'm looking at, the auctioneer's fee is also fixed.  

I'm wondering though, if another company has put these lots into the auction and that's where the big number has come from.  Setting incredibly low guides with these high fees does look like a MMOA tactic, not the usual Bond Wolf kind.  

eddddy

Doozergirl said:

If it's anything like the lot I'm looking at, the auctioneer's fee is also fixed.  

I'm wondering though, if another company has put these lots into the auction and that's where the big number has come from.  Setting incredibly low guides with these high fees does look like a MMOA tactic, not the usual Bond Wolf kind.  

I'm assuming that it's the seller that pays a percentage fee - rather than the buyer. 

A seller often has to pay around 2.5% of the sale price at auction, so this approach might save the seller £200, I guess.

Also, it probably changes £8k from a Capital Gain to a "fee" - perhaps that's helpful to the seller from an accounting perspective.


Or perhaps, as you suggest, there's a 'nasty middleman' taking the £8k. Maybe a 'quick sale' company saying something like "We'll sell your house fast at auction - you'll get the full bid price." (But keeping quiet about the £8k fee they will get.)

thelittlewolf

thank you everyone.
i sent an email regarding their extra charges and received the following reply
"Dear Mr Rex

The buyer’s premium is where the seller is recouping all their costs via the buyer and is in addition to the sale price.

We do not produce the legal packs, they are produced by the seller’s solicitors and we upload the packs when received for all interested parties to inspect.

We confirm that all costs associated with each Lot is within each legal pack and no costs are hidden.

Kind regards

Auctions Team"