Commercial Auction Conveyancing, Scotland

Find out more about commercial purchases and sales in Scotland.

Selling Commercial Property at Auction

Auctions provide a degree of certainty and pace for commercial property owners looking to sell a property quickly and without the delays often associated with the traditional conveyancing process. 

Instead of a long negotiation process, or weeks of viewings and discussions with a potential buyer and their solicitor regarding the finer details, the sale will be completed and a binding contract will be in effect, once the final bid is accepted at the auction.

Selling through commercial property auctions can be highly profitable for sellers. A property may sell for a much higher price than if it were sold on the open property market. This is particularly true if there is more than one interested bidder and competing demand between potential purchasers.

To avoid making a loss on a sale, we recommend instructing the auction house to set a reserve price for your property. This will ensure the property will not sell for less than the minimum value acceptable to you and will serve to advise potential buyers of the starting value on which further bids can be made. 

Commercial Auction Solicitor

Sellers at auction should bear in mind the fees associated with selling a property at auction. The auction house will charge a fee for listing the property which must be paid irrespective of whether the property is sold at auction. In some cases, and depending on the auctioneer’s terms, these costs are met by the purchaser.

Commercial Property Solicitors Contact Jones Whyte

Get in contact with our experienced legal professionals today for support with your case.

Buying Property at Auction

Property is usually sold at auction for a specific purpose, such as the seller needing a quick sale. In other instances, the property may be in poor condition and require extensive renovation work, which can appeal to buyers looking for a “fixer-upper”. Sometimes, the property will be unusual or atypical in terms of character or feature, or viewed as problematic in terms of valuation. An auction may be seen as the best means of establishing value and securing a sale for these types of properties.

Buyers looking to purchase property at auction should always seek legal advice before submitting a bid. Your solicitor will be able to explain how the conveyancing steps work when buying commercial property at auction. 

If your bid at auction is accepted, you will receive the title to the property in whatever condition it may be in without recourse to the seller if, for example, the property is structurally unsound. To avoid such a situation, our solicitors can carry out a title check, among other legal investigations, on any potential property of interest listed by an auction house. We can advise you of the expected interest in a property, as well as the potential value.

Commercial Property Auctions – Conveyancing Explained

Our team of expert conveyancing solicitors will ensure that you are well-informed and fully prepared before attending an auction and making a bid.

We will ensure that every aspect of conveyancing is explained, review all important conveyancing documents on your behalf, provided as part of an “auction pack”, and advise you of any potential issues or concerns. If you are selling your property at auction, we can assist in preparing your property’s auction pack in advance of a sale.

Our conveyancing lawyers understand that time is of the essence when purchasing or selling a property at auction. We provide quick and efficient legal advice to ensure your success. For clear, down-to-earth legal advice and assistance from our experienced and highly skilled property and conveyancing solicitors, contact us today.

Buying Commercial Property at Auction

Property is usually sold at auction for a specific purpose, such as the seller needing a quick sale. In other instances, the property may be in poor condition and require extensive renovation work, which can appeal to buyers looking for a “fixer-upper”.

Sometimes, the property will be unusual or atypical in terms of character or feature, or viewed as problematic in terms of valuation. An auction may be seen as the best means of establishing value and securing a sale for these types of properties.

Buyers looking to purchase property at auction should always seek legal advice before submitting a bid. Your solicitor will be able to explain how the conveyancing steps work when buying commercial property at auction. 

If your bid at auction is accepted, you will receive the title to the property in whatever condition it may be in without recourse to the seller if, for example, the property is structurally unsound.

To avoid such a situation, our solicitors can carry out a title check, among other legal investigations, on any potential property of interest listed by an auction house.

We can advise you of the expected interest in a property, as well as the potential value.

Tips For Buying or Selling Commercial Property at Auction

Navigating the world of buying or selling commercial properties can be a bit complex. Having the right guidance is crucial, and that’s where commercial property solicitors come in. These tips are designed to make your commercial property journey smoother, especially with the support of reliable commercial property solicitors. Let’s get started.

Understand Scottish Property Law:

Familiarise yourself with the nuances of Scottish property law, which can differ from the rest of the UK. Ensure that your legal advisors are well-versed in Scottish property law.

Scottish Land and Buildings Transaction Tax (LBTT):

Consider the implications of LBTT, the Scottish equivalent of Stamp Duty Land Tax (SDLT) in England. Understand how this tax may impact your budget for both buying and selling.

Engage Commercial Property Auction Solicitors:

Work with legal professionals based in Scotland who understand the specific regulations and procedures governing commercial property transactions in the country.

Check Title Conditions:

Thoroughly review the title conditions of the property, as they may have implications on its use and future development. Seek legal advice to interpret and understand any restrictions.

Local Authority Approvals:

Confirm that the property complies with local planning permissions and building regulations enforced by the relevant Scottish local authority. Check for any upcoming changes that may affect the property.

Attend Scottish Property Auctions:

Attend auctions specific to the Scottish property market to understand the dynamics and practices unique to the region. This will give you a better sense of buyer and seller expectations.

Scottish Home Report:

If selling a property, provide a Scottish Home Report, which is a mandatory document for residential properties in Scotland. While not required for commercial properties, it can enhance transparency and attract serious bidders.

Legal Auction Pack Compliance:

Ensure that the legal pack provided by the auctioneer complies with Scottish legal requirements. This pack should include essential documents such as the Property Enquiry Certificate and local authority searches.

Community Rights to Buy:

Be aware of community rights to buy, which allow communities in Scotland to register an interest in purchasing land and certain buildings. This could impact the sale of certain properties.

Factor in Registration Time:

Factor in the time required for property registration in the Scottish Land Register or the General Register of Sasines. This process is crucial for legal ownership and may take some time post-auction.