What is it?
When buying a property at auction you may want to have your finance lined up before you bid, particularly as you will need to pay a 10% deposit on the day of purchase. We can work with you to get an Agreement in Principle from a lender for the best finance to suit your needs. This will allow you to bid with peace of mind.
Types of finance suitable for auction purchases:
Light and Heavy Refurbishment Short-Term Loans (STL)
If you want to carry out works on the property, you have the choice between light and heavy refurbishment products, which will depend on the amount of proposed works to be carried out.
See our Light and Heavy Refurbishment section for more details or get in touch today.
If you are purchasing land to build property or undertaking an extensive conversion, development finance would be used. A typical loan would assist with the purchase of the land and the build costs.
See our Development Finance section for more details or get in touch today.
A recent client success:
Clients agreed purchase at auction for a property requiring refurbishment and renovation. Due to the amount of work required the client could not arrange a term facility. The team at CPC Finance worked quickly to arrange a short term loan, enabling the client to complete the purchase within the 28 days required.
If purchasing for investment, research the property before the auction and consider whether the area is suitable for your chosen tenant type, the potential rental income and whether there are local management companies, if you would like to use one
Before the auction, download the legal pack and provide this to your solicitor for review. There may be additional searches you need to do. Make sure you have made all the necessary enquiries to the local council regarding planning permissions and know what legal costs might be associated with them
You may want to pay for a valuation to be carried out on the property prior to auction to ensure it is suitable for a mortgage and attend the auction with a formal mortgage offer