Auction
Buying at Auction Guide
Auction is one of the fastest and most transparent ways to buy property — but it carries different risks and timelines from a private treaty sale. This guide explains the formats, the legal pack, deposits, and how to bid sensibly.
9 min read · First-draft content — review before publication
Traditional vs modern method
- Traditional auction — fall of the gavel is exchange of contracts. 10% deposit on the day, completion typically in 28 days.
- Modern method (conditional auction) — winning bidder pays a non-refundable reservation fee and has 28 days to exchange and a further 28 days to complete. Closer to a private sale timeline; usually more mortgageable.
- Frontdoor's Best Offers by date and Buy Now modes share many auction characteristics — fixed timelines, transparent process — without the gavel.
The legal pack — read it before you bid
The legal pack contains the title, special conditions of sale, searches, leases, EPC and any tenancy information. Read it carefully — and have your solicitor read it — before bidding. Special conditions can transfer costs (search fees, auctioneer commission, seller's legal fees) onto the buyer.
Finance — line it up first
- Cash or bridging is the safest route for traditional auctions given the 28-day completion.
- If using a mortgage, get a Decision in Principle, instruct a valuer in advance, and confirm the lender's appetite for the property type.
- Budget for the deposit (usually 10%), buyer's premium, and any administration / search fees flagged in the special conditions.
Guide price vs reserve
The guide price is a marketing figure; the reserve is the minimum the seller will accept. The reserve can be up to 10% above the latest guide price. A property won't sell under the hammer if bidding doesn't meet the reserve — but post-auction offers are often accepted.
Bidding tactics
- Decide your maximum bid in advance and stick to it.
- Bid in clear, confident increments.
- Don't be drawn into a bidding war with someone who clearly hasn't done the maths.
- If the property doesn't meet reserve, register interest with the auctioneer — it may be available immediately afterwards.
Auction is exchange, not 'have a think about it'
Once the gavel falls (or the modern-method reservation is paid), you are legally committed. Pulling out usually means losing your deposit or reservation fee.