Unique to auctioned properties, Auction Legal Packs are a vital part of the process, but, what are they?
Whether you’re buying or selling your next property, if you’re doing it via an auction, then an auction legal pack is something you’re going to come across.
In short, an auction legal pack contains all the vital and necessary information any prospective buyer may need to know about the property. It’s there to make sure that buyers can make an informed decision prior to bidding.
What’s inside an auction legal pack?
Auction legal packs are designed to be as comprehensive as possible, however, the exact documents included can vary with the type of sale.
There are also additional forms available inside each pack too, for example; if the auctioned property is tenanted, or intended for use as a commercial property — different types of forms would be attached to the pack to determine the specifics.
Here are some of the things you can expect to see inside an auction pack:
- Title Register: This confirms the ownership of the deed, the amount paid for the property, any outstanding charges and other information related to the property
- Title Plan: A map of the specific land boundaries
- Conveyancing Searches: Information related to the area in the vicinity of the property. Local Authority, environmental, flood, water, drainage and other similar assessments are included here.
- Energy Performance Certificate (EPC): An EPC of the property, giving an estimate for the running costs of the property.
- Terms & Conditions of Sale: The terms and conditions for the sale, timeframes, deposits, and legal responsibilities of all parties.
- Property Information Form (TA6): Information on boundaries, disputes, complaints, notices, and building controls in place.
- Fixture and Contents Form (TA7): Unless the property is being sold ‘as-seen’, this form contains information on all the physical items, fittings, and appliances included in the sale.
Additionally, depending on the type of property, you may also find these forms / information within an auction legal pack:
- Leasehold Information Form (TA7): If you’re buying a leasehold property, you’ll be given a copy of the leasehold contract, containing information regarding the lease.
- Leasehold Property Enquiries (LPE1): A document which contains information about any existing agreements, fire safety certifications, and any additional restrictions imposed by the terms of the lease.
- Tenancy-related Information: If you are buying a property with tenants, the auction legal pack will also contain details about the tenants, such as the current agreement, HMO licenses, Deposit Protection Service details, and more.
How do I get an auction legal pack?
If you’re buying, then packs are available through the auction house itself.
However, if you’re selling the property, then the cost will depend upon the fees accrued through the services of the solicitors used to help prepare the pack.
Why do I need an auction legal pack?
If you find yourself asking that question, it’s important to know just how risky it can be once to bid on a property without having read it.
If you’ve successfully bid on a property, you’re considered to have entered into a legally binding contract. Therefore, if there are any issues or concerns that you discover after you’ve successfully bid for it, and were included in the legal pack, then you will lose your deposit, and incur additional possible costs as per the terms of sale, should you back out of the deal after this.
We highly recommend thoroughly reading through all the contents of the auction legal pack carefully, and having a solicitor or conveyancer with experience in auction sales check it over too. Therefore, if you have your heart set on a property, it is always worth the cost of hiring expert legal help to ensure you’re making the right purchase.
Auction legal packs are there to help you, as a buyer, make informed decisions about whether a property is right for you.
Now you know what to expect, you too can understand how you’re able to secure your next dream property at an auction.
This article is purely speculative and should not be mistaken for financial advice. Readers should consult a professional independently before making any financial decisions.