You might think that the costs of selling a house at auction are more than selling through an estate agent, but that need not be the case.
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Typical Auction Fees
The auctioneer would typically charge a commission of 2% plus VAT if the house is sold. If the house fails to sell, the commission would obviously not be payable.
Auctioneers typically charge upfront fees of £300 plus VAT, which covers the entry fee for the auction plus the inclusion of the details in the auction catalog. It is sometimes possible to delay paying this fee until the house sells.
To enter the auction the seller’s solicitor must produce a legal pack, which would contain all the searches and title deeds for the house. This would typically cost around £200 plus VAT for a freehold house and around £400 plus VAT for a leasehold house. Without the legal … Read the rest
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