Different Types of Home Auction

Just as there are different types of auction in general there are also different types of auction for each category. For example with jewellery auctions you may get a 1920’s jewellery auction, a diamond auction or a classic auction. With art there may be a modern art auction, a renaissance auction or an alterative art auction. The same applies to property auctions. It is unlikely you will find an auction where you can bid on a luxury waterside penthouse, a two-up two-down terrace and a pub with living area on the same day. Indeed the houses and properties at property auctions are usually set into categories to make it easier to attract potential buyers and - more importantly - the right kind of buyers.

Commercial Auctions

Some developers specialise in buying commercial buildings such as pubs and shops. Commercial auctions allow developers to source these kind of buildings specifically without having to sit through dozens of lots they have no interest in. For the auction house, it can be sure those attending the auction are interested in the types of property on offer.

Disused Home Auctions

Many developers look to buy properties in great need of repair. They see these as blank canvases or ‘shells’ that they can clear out and start again with. People looking to build their dream home are often drawn to these property auctions to as you are often able to buy an old, disused home of great size in a good area for a very cheap price simply because it is gutted inside. These properties became more popular due to the increase in the number of television programmes on home development and property investments, inspiring millions of people to become property developers.

Repossessions

Repossessions are fast becoming one of the most popular causes of houses being sold at auction. As mortgage payment rose due to the interest rates rises over the last couple of years homeowners struggled to pay their mortgages and sadly lost their houses. These properties sell at rock bottom prices at property auctions so potential buyers could get themselves a real bargain.

Luxury homes auction

However it’s not just disused or repossessed houses that are sold at auction. There are also auctions for high end, top of the market properties that attract a certain kind of buyer. These properties go for an awful lot of money and auction houses know they will attract the right kind of buyer to the auction if the properties are categorised in this way.

By separating the types of properties available at auction the auction house can be sure the buyers who show up are serious about getting involved in such a sale. That means both the auction house and the buyers can save time and it is more likely that the right sales will go ahead. You can find specific auctions online or via estate agents and various auction houses. Tell your estate agent what property you're looking for and he or she will direct you to the best auction for finding it.