Auction property with tenants

[BluLagoon]

My dream property is up for auction. It’s round the corner from me and is auctioned by receivers so I guess the owner ran out of money. I can see it was bought a year ago and they were installing bathrooms in all bedrooms. Apparently there is a tenant but the receivers (bank?) are not collecting rent and don’t have a tenancy agreement.

I am a FTB and want to view the house. What do I need to know about the eviction process? Am I mad to consider it?

You could view it but make sure you read the legal pack CAREFULLY and have it checked by someone else too. Its likely to be a money pit, check the auction terms carefully also.
People not paying rent are squatters and can be very difficult and expensive to deal with. They sometimes damage the property when forced to leave. I wouldn't take this on as a first time buyer personally.

Do you need a mortgage? There is no way you’ll get one without vacant possession.

Thanks, unfortunately tenants mean it’s not possible for us as we’d need a mortgage. Even without that headache I’d be worrying in case we couldn’t get our mortgage for some reason.

You can't really but an auction property is unless you are a cash buyer. The timescales don't really work.
Modern method of auction is the exception to this but that is a whole other problem.

In some rare instances the tenants vacate the property by the time the auction is held or after a failed auction. So keep a tab on it in case the facts change as I have seen this happen before.