Selling house in auction

fja

Hi, I put my house in auction with IAMSOLD. I haven't heard a single bid so far; this is one week on. What do I do? Should I pull out and go in the open market way or wait for 60 days for their contract to finish?

soolin

fja said:

Hi, I put my house in auction with IAMSOLD. I haven't heard a single bid so far; this is one week on. What do I do? Should I pull out and go in the open market way or wait for 60 days for their contract to finish?

Does your contract allow for you to withdraw from sale and if so have you checked the costs out for doing so?

I have no experience of selling property at auction, but for other things it is quite common for there to be no interest until the sale deadline approaches, what information were you given about time frames, bids and patterns of bidding. What has the auctioneer said about your lack of bids?

Albermarle

soolin said:

fja said:

Hi, I put my house in auction with IAMSOLD. I haven't heard a single bid so far; this is one week on. What do I do? Should I pull out and go in the open market way or wait for 60 days for their contract to finish?

Does your contract allow for you to withdraw from sale and if so have you checked the costs out for doing so?

I have no experience of selling property at auction, but for other things it is quite common for there to be no interest until the sale deadline approaches, what information were you given about time frames, bids and patterns of bidding. What has the auctioneer said about your lack of bids?

The OP has opted for the Modern method of Auction, rather than a traditional auction.
Normally on this forum it is advised not go down this route, due to the high fees and that it actually puts some potential buyers off. 

eddddy

fja said:

Hi, I put my house in auction with IAMSOLD. I haven't heard a single bid so far; this is one week on. What do I do? Should I pull out and go in the open market way or wait for 60 days for their contract to finish?

You need to read your contract with the auction company. It's a while since I looked at their contract, but I suspect that the situation will be something like this:

• You would have to pay a withdrawal fee

• The auctioneers have 'sole selling rights' for the 60 days. So if you market the property elsewhere, and a buyer is introduced within those 60 days, you have to pay a large fee (possibly £6k+) to the auctioneers.

• Also, if you eventually sell to a buyer introduced by the auction company during those 60 days (even if the offer is made after the 60 days is up), you might have to pay the auctioneers a large fee (possibly £6k+)

But once the 60 days is up (and you have correctly followed the termination terms), you should be able market the property elsewhere to new buyers - without the risk of having to pay a fee to the auctioneers.

theartfullodger

Dunno, but bought house at auction having never seen inside it (just drove past..) - less than £20k.

Herewith snap from sitting room 2014 - white bit top left is Munro, Gulvain, 3,238 ft.  Apologies for repeating myself.

ReadySteadyPop

fja said:

Hi, I put my house in auction with IAMSOLD. I haven't heard a single bid so far; this is one week on. What do I do? Should I pull out and go in the open market way or wait for 60 days for their contract to finish?

Open market, priced to sell.

Tabieth

It really depends on what your contract with them says. What are the penalties for pulling out? It could be incredibly costly to do so. 

Myci85

Check your contract as stated, as I expect you're probably tied in or due to pay hefty fees to get out of the contract. 

From a recent buyer's perspective, I avoided any property advertised as MMA, after viewing one on with Iamsold and finding out the pitfalls of trying to buy through them. I know that I'm not alone, and I saw a few properties that had they been on open market I would have been very interested in. 

RAS

Once you've checked the terms, and given any notice required, you can move agents.

But ask Iamsold to provide the details of all those they introduced. You and your new auction house both need that list, as if anyone buying the house is on the list, Iamsold's fees have to be paid.

Hopefully, they can't provide any introductions.