Home Auctions

Hi there,

I'm not a fan of auctions, but there's a couple of houses we like that are going to auction.

Can anyone tell me, do you really HAVE to have a 10% deposit ready to hand over on the day, if you win? It's a right royal PITA for us to have this ready if we don't end up being successful. Basically, our savings are in UK£ in the UK and I don't want to move I unless I HAVE to. The exchange rate is crud at the moment

hummmmmmm I guess I could move some £ into a £ account here in NZ. It won't earn any interest, but I guess we won't be loosing out on the exchange rate, unless we need to.

Sorry, thinking aloud now

Still curious as to whether you can pay the deposit in say something like 5 days?

Thanks

Could you arrange a loan (in addition to any mortgage you'd be taking out) for the money you need, so that you have it on hand if necessary but don't have to convert your pounds? I imagine most banks would understand why you're asking, and feel quite secure in lending to you knowing the situation?

Call the lawyer who will be doing the auction for you, or ask the REA for a copy of the auction agreement (that would would have to sign on the day). It would ask for the deposit to be paid on the day by default but then you need to know whether it is void without it or if there is, say, a five day notice period for cancellation if you don't pay. I think it would be the former.

You'd think the bank would do that wouldn't you, but no. I asked

Thanks for the replies.

Yes, very wary of mortgagee auctions. We went to look at a place once, and the agent basically said the guy was well pi**ed off and was almost certainly going to trash the place. She was suggesting we offer him about $30k cash not to destroy/remove anything WTF ??? errrrrr no!