Hi,
Hubby and I are in the process of looking for a first investment property, but we are finding that so many are now listed as Modern Method of Auction, and for various reasons we are not prepared to take the risk on buying this way.
We’re currently very interested in two properties that are being sold this way. One went to auction last month, didn’t sell and is back on now with a reduced starting bid, with the auction ending on Friday. No bids so far - I expect the method of selling is putting a lot of buyers off because it seems to me to be worth far more than its current starting bid.
Assuming it doesn’t attract any bids this time, we would like to send an email to the agent at the end of the auction making a decent offer (probably 20% above the starting bid), but saying that we are only prepared to buy via Private Treaty.
My question is, does anyone have any experience of doing this? Is it something that sellers/agents/auction companies are receptive to? What is the best way of going about it?
I’m conscious that the seller is probably contractually bound in some way to the auction company, although in this case she is paying the 4.2% herself as the buyer pays it as a “reservation deposit” in part payment rather than an additional “reservation fee”. I’m wondering whether, if she is paying this anyway, whether there will be any pushback from the agents.
Any advice/experiences gratefully received.