The answer is of course yes but it is becoming more and more difficult to find opportunities that are worth investing in at auction. Choices Investments used to run a service devoted to auction information but closed this down in 2012 with the returns from properties purchased at auction reducing and the competition for them getting ever stronger.
The good thing about investing in property at auction is that you are able to do all of your research before the day and it is free to the public. This means you can know exactly what a property is worth and how much you are willing to spend on it before you get into the auction room. You can also get your solicitor to check over all of the paperwork to make sure there are no unexpected surprises after you have exchanged.
Registering with your local auction house to get their catalogue as soon as it is released is the best way to stay in touch with opportunities that come up. There are services offered by some companies that suggest that they get the information first and help you to purchase the properties ahead of the auction but this is all information that is open to the public. We used to offer a similar service but with the ability of being able to find properties being sold at auction that we were able to assist our clients in purchasing, or even finding worthwhile investments decreasing, the decision was made to stop this service.
If you are a first time investor then we would suggest that an auction is not the place to start. It is an intense atmosphere in the room and you will be surrounded by seasoned investors that know what to bid on and what to stay clear of. You should definitely look to attend an auction to get used to being in the room before you consider bidding for any properties as it has been known the occasion getting to first time auction attendees and them ending up paying far too much for the property after being caught in the moment.
But there is something greater to consider. If you are going to an auction and there are people there that have been to many auctions in the past, how are you going to be able to get the best deal possible? With investing in property comes experience. Experience of what is a good purchase, experience of buying at auction and, most importantly, experience of when to stop bidding. If an experienced investor in the room at an auction decides to stop bidding on a property and you pay more than they are willing to pay, have you truly purchased the best investment opportunity possible or have you spent more on it than you should have done?
Experience is the key with all property investing. At Choices Investments we have a team with over 100 years of collective experience in property that we use on a daily basis to help our clients make sure that they are purchasing the right opportunities. This is why we source exclusive, off market opportunities that only clients see. Some examples are available to be seen here but this is a very small fraction of what we have available. If you would like to find out more, please give us a call on 01342 840050 or email enquiries(Replace this parenthesis with the @ sign)choicesacquisitions.co.uk.