Auction Catalogue Tips
 

Auction catalogues are generally free, at least to first-time callers. If you want to receive them regularly then, in theory, you can put in a standing order for them in exchange for a couple of pounds per catalogue (never let it be said that an auctioneer might miss the opportunity to make a few quid where they can). In practice, if you simply call each time, you should get a free catalogue. Use the phone numbers listed in previous AIG issues - don't use any premium rate line number they try to get you call at about a pound or two a call.           

Catalogues are normally available about three weeks before an event. The earlier they are available, the more time you've got to do your research; view, bring in a surveyor, do the legal stuff etc. But - a big but - the earlier they're out, the less reliable they tend to be. There will often be lots that come up that aren't listed - so stay in touch with the auctioneer. Some of the lots listed will be withdrawn or sold prior (more on pre-auction offers some time soon). Again, keep in touch. If the catalogue is put together in a rush, it will often contain inaccuracies. The auctioneers have various cop-out clauses here, but the bottom line is that you are responsible for checking accuracy of just about anything they state about a lot!

As a quick aside, when you're deadly-serious about bidding, don't wait for the catalogue to come out (although do read it when it's available of course). Check when the closing date for entries is, and call the day after to sound out the auctioneer about what's available. You'll get yourself an extra 7 to 10 days time that way. Also worth mentioning, don't rely on the auctioneers' web sites. As with many industries, many property auctioneers embraced the on-line revolution for about three weeks and then lost interest. Some auctioneers (generally the London ones) do update reasonably regularly. Others will have auction details from several months ago. Don't waste your time with them.         

Typically, each lot will come with a guide price or, more likely, a guide price range. In theory, this can be the market value, or what the auctioneer thinks the lot will sell for at the event (not necessarily the same thing, of course). Ask for clarification. It's often said that the auctioneer will generally under-value so that the seller will usually get more for the lot, be impressed and use the auctioneer's services again. This is largely a myth put about during periods of rapid price-rises when auctioneers were not as fast as they should have been at spotting what was happening. If you study auction results (as I do), you'll see some lots go high, some go low, some are fairly accurate. There's a lottery element to it.

Most lots will go through with a reserve price; i.e. the bidding must reach this sum for the lot to sell. That's true even with repossessed properties. The bank or building society has a duty to get the best possible price. Although it's arguable that they try to achieve that, it's not in their interests to see a property selling for less than the mortgage outstanding on it. What's the reserve? Hard to say for sure, although it's often close to the lower figure given in the guide price range.             

Most auction catalogues will list a full page or two of general conditions. These need to be read - boring though they are - and understood; check with the auctioneer if anything is unclear. Most of it is straightforward stuff; what you have to do to register to bid (provide ID such as a passport, pay a refundable deposit etc); how much you have to pay on fall of hammer (10% usually, so take a draft for 10% of your maximum bid); when the sale will be completed (normally 21 or 28 days later). The conditions also contain lots of get-out clauses for the auctioneer; how you should check the legal packs for accuracy (note, most of them will not even be complete); how you should double-check measurements (I've personally had details where measurements had been given in feet instead of metres); how you should bring in a surveyor, legal advice etc at an early stage (very wise). Read each condition carefully - they're often similar from one auction to another; but rarely identical. 

There will be special conditions too. These relate to the individual lots. They are above and beyond (not instead of) the general conditions. Special conditions may cover areas such as covenants, and various other rights and restrictions. Maybe there is a right of way for ramblers across the land, as an example. You may find these special conditions listed in the catalogue. As likely, you will find a handful of addendum sheets stuffed inside(ask if you don't find one for 'your' lot). They can even surface as late as the auction day itself. Always go up to the auctioneer's staff before bidding. And make sure you have a mobile phone and your legal adviser's phone number to hand.