What is Property On auction?
An auction is simply a public sale in which the property is sold to the highest bidder. The decision to purchase property, whenever on auction or otherwise, should never be taken lightly.
Generally, property sold on auction is sold “as is”, meaning along with its defects and issues, whether visible or not.
How To Buy Property On auction In south Africa?
What do I need to attend a property auction?
You’ll need to apply for a bidder’s card at the venue, which is a quick and easy process as there’s no registration fee.
All you need are your FICA documents. Registering for a bidder’s card does not obligate you to make a bid.
How much deposit do I need for auction property?
A 10% deposit will be required on the date of the auction to secure the property you have successfully bid on.
The funds available to pay a building surveyor and any other fees such as solicitors, surveyor and auction administration fees.
How do property auctions work in South Africa?
Property auctions feature an inventory of homes that are sold voetstoots, faults and all. That means that the seller is not legally responsible for fixing any faults after the sale.
Successful bidders at home auctions will also be liable for any outstanding municipal rates, taxes and levies on the property.
Do you need cash to buy land at auction?
Yes, you can and many of our buyers purchase with finance provided by lenders. You will nearly always need to have the deposit monies, however if you have other property assets you may be able to borrow against these.
What are the risks of buying a property at auction?
When you buy a property at auction, there’s always the risk that there is something hidden in the legal pack that could cost you a lot of money to put right.
Covenants or loopholes can make the purchase much more complex or even risk not completing, which can have massive financial implications for you.