BUY OR SELL YOUR PROPERTY AT AUCTION

The property market is evolving rapidly. Traditional sales methods are being supported by a new approach – the Modern Method of Auction (MMoA) – which has quickly gained popularity.

This approach is not just a passing trend; it is reshaping property transactions and helping sellers and buyers sell and buy properties quickly.

WHY IS THE MMOA A POPULAR CHOICE?

The MMoA offers both sellers and buyers a more transparent, efficient, and secure method of selling and buying a property. It is designed to create opportunities for everyone involved by simplifying the buying and selling process, reducing uncertainty, minimising delays, and maximising value.

ADVANTAGES OF THE MODERN METHOD OF AUCTION

For buyers, it provides a clearer timeframe, particularly when securing a mortgage. You have up to 56 days* for completion, aligning with standard lending timescales. This period, which is longer than with traditional auctions, gives you additional time to finish arranging your finances, thereby helping you feel more prepared and confident. Notably, mortgage buyers made up 31.82%** of purchases via MMoA in 2024, showing steady demand for this flexible process. Recent data also reveals a remarkable year-on-year increase in properties sold via auction. In December 2024 alone, homes for sale via MMOA rose by 20.9%. This surge highlights a growing shift in their preferences, driven by the demand for quicker sales and better transparency.

Sellers benefit from a risk-free, cost-effective approach. You pay 0% commission^ with no upfront costs, and Auction Packs are offered on a 'no sale, no fee' basis. This means you only pay once your sale is complete, ensuring a secure selling process.

The Modern Method of Auction accelerates the process for both parties, enabling property transactions to complete over 50% faster than the open market**. Its fixed timescales eliminate uncertainty, while upfront property information and a buyer reservation fee add extra security. This method is quick, clear, and efficient, making it easier for you to feel comfortable as you go through the process.

A 5-STEP GUIDE TO THE MODERN METHOD OF AUCTION

To help you have a smooth and efficient transaction, this process can be broken down into the following five key steps:

Step 1: Customer registration

For buyers: The first step is registering with an estate agent, like us. During this process, the agent will collect your personal details, including your contact information and the type of property you are interested in, as well as enquire about your preferred location, budget range, and any specific features you are looking for in a property.
For sellers: The estate agent will gather important details about your property, including its type, location, size, and any unique features. They will also be interested in any recent upgrades or renovations that may enhance the value of your property. This information will be used to create a detailed and appealing listing for the auction.

Step 2: Requirement summary

For buyers: After registration, the estate agent will summarise your property needs and match them with available properties or upcoming valuations. This helps both you and the agent understand what you are looking for.
For sellers: The estate agent will assess your property’s value and match it with prospective buyers based on their preferences. Additionally, the agent may give you some useful tips on how to further increase the appeal of your property to maximise interest.

Step 3: MMoA introduction

For buyers: The estate agent will check if you are familiar with the Modern Method of Auction. If you are new to this method, they will explain the process step by step, including how bidding works, the timescales involved, and the financial commitments required. They will also answer any questions you may have to ensure you understand the process.
For sellers: You will get a detailed overview of the Modern Method of Auction, including how it works and its benefits, to help you feel more confident with the process. They will also go over the auction timeline, how bidding works, and answer any questions you may have.

Step 4: Service introduction

For buyers: You will be introduced to a mortgage consultant who specialises in auctions. They will help ensure you are financially prepared before bidding, making the process smoother and more enjoyable.
For sellers: The estate agent will talk you through the costs of selling at auction, including any fees and how the commission works. You will also learn about what could happen during the bidding process, like meeting or beating your reserve price, or negotiating with the top bidder if the reserve isn’t met.

Step 5: Appointment scheduling

For buyers: Before property viewings, the estate agent will recommend meeting with a mortgage consultant, if you are applying for a mortgage. This will confirm your financial readiness and help you feel confident when it is time to bid.
For sellers: You will get support from the estate agent to organise property viewings and advice on how to present your property in a more appealing way. They will share tips on decluttering, staging, and highlighting its best features to attract potential buyers.

This versatile approach is not limited to specific property types or price ranges. It has been successfully used for a wide variety of properties, including residential, commercial, and development opportunities.

IS MMOA THE RIGHT CHOICE FOR YOUR PROPERTY GOALS?

The Modern Method of Auction is great choice for a wide range of buyers and sellers. It offers a clear, transparent process with added peace of mind.

For buyers, including those taking out a mortgage and cash purchasers, the property is exclusively reserved as soon as the sale is agreed, and the reservation fee is paid.
Sellers benefit from a quick sale process, enhanced security, and no estate agency fees.

However, if you are likely to be in a chain, this method might not be the best fit. We recommend speaking with our experienced team to determine if this approach aligns with your specific property goals.

As the property market continues to evolve, the MMoA will play an increasingly significant role.

If you want to find out more about the MMoA, find out more here or contact us today.

CONTACT US TODAY

Sources:

*From receipt of draft contracts. Terms and conditions apply. Based on standard property types.
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**0% fees, where the buyer pays the reservation fee. Please note the buyer may consider this within their total purchase amount.

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