Property auctions are a smart way for first time or established property developers to buy properties below market value, usually from a motivated seller. If you’re an investor wanting to take advantage of the benefits of buying a property at auction, you can often face barriers when it comes to raising funds. These can include lengthy application processes and reduced lending options from high street lenders.  

Auction finance is different to an ordinary mortgage due to the short timescales in which the funds are required.  As a short-term lending product, auction finance can be arranged quickly when properties are sold on a tight schedule. Completion can usually take place within 28 days.

Having property auction finance, or an agreement in principle, in place before you bid on a property gives you the peace of mind you’ll be able to move quickly once the hammer falls on your winning bid. It’s worth remembering you will be required to pay 10% of the final selling price on the day and the remaining 90% within 28 days. 

A2Z Bridging will source the most flexible finance products to enable you to complete your purchase with ease and maximise your profits.