MAC Property Auctions sell properties via two distinct methods of auction. The type of auction a property is being sold under will be clearly labelled within the catalogue and confirmed by the auctioneer.
Conditional Auction: Also known as the modern method of auction is a way for a property to be sold (subject to contract) via auction to purchasers who have not got everything ready to exchange. At the end of the successful auction purchase the purchaser is asked to pay a non-refundable fee to secure the property giving them 28 days exclusivity to exchange contracts. Should this not occur then the property is unsold, the purchaser loses their fee and the property is remarketed.
Sellers are able to sell their home with no agent’s fees by this method as a reservation fee is paid by the potential buyer to secure the right to buy the property. However, the sale may not continue to exchange, should this occur the property will subsequently be re-offered at the next auction.
Unconditional Auction: Also known as the traditional method; when the gavel goes down the property is sold and should it not complete, the seller will receive the normal recompense from the buyer. This is very unlikely to occur as buyers who purchase at this type of auction tend to be experienced in this type of purchase, have finance in place and are ready to complete in 28 days.
Unlike the modern method, agency fees are paid for by the owner of the property and are usually less; therefore, as buyers have a maximum bid to include fees, it is possible to receive more for your home, buyers are able to proceed and your home will exchange on the night of the auction if it sells.