Sellers Guide 2 – Jargon

Online Auction Jargon Buster: A Seller’s Guide to the Terms You Need to Know

 

Selling a property online at auction can be fast, exciting – and a little overwhelming if you’re new to the process. Alongside the paperwork and preparation, you’ll come across plenty of industry terms and auction-specific language.

 

To help you feel confident and informed, we’ve put together this Jargon Buster to explain the key terms you’re likely to encounter as a seller in an online property auction.

 

Auction Catalogue

The official listing of all properties (lots) available in the auction. It includes property descriptions, guide prices, and legal notes. Think of it as your auction roadmap.

 

Lot

Each individual property or piece of land for sale in the auction is called a “lot” and has a unique lot number.

 

Starting Price

The price at which bidding is expected to start. It gives you a rough idea of the seller’s expectations but is not the final sale price. The actual selling price can be higher – or sometimes lower.

 

Reserve Price

The minimum price the seller is willing to accept. If bidding doesn’t reach this amount, the property won’t be sold. This figure may or may not be disclosed publicly.

 

Legal Pack

A collection of documents relating to the property. It typically includes:

• Management Pack

• Property Information Form

• EPC

• Title deeds

• Searches

• Special Conditions of Sale

• Leasehold details (if applicable)

You or your solicitor should review this before bidding.

 

Special Conditions of Sale

Additional legal terms specific to the property or seller. These might outline different deposit requirements, completion timeframes, or fees payable by the buyer. Always read them carefully.

 

Exchange of Contracts

At auction, this happens the moment the virtual hammer falls (when the timer ends and your bid wins). At that point, the sale becomes legally binding.

 

Completion

This is when the property officially becomes yours, and the balance of the purchase price is paid. The standard auction completion period is 28 days, but this can vary – check the legal pack!

 

Deposit

A portion of the purchase price (usually 10%) you pay immediately after winning the bid. You’ll also pay any administration or documentation charges outlined in the Special Conditions.

 

Buyer’s Fee / Administration Fee / Contract Documentation Fee

A charge payable by the buyer on top of the sale price. It’s usually fixed and covers the auctioneer’s admin costs. Check the catalogue or Special Conditions for the exact amount.

 

Remote Bidding / Online Bidding

With online auctions, all bidding takes place through a secure platform. Once registered and verified, you can bid from anywhere using your phone, tablet, or computer.

 

Auto-Bid / Proxy Bid

A feature that lets you set your maximum bid. The system will automatically increase your bid (in set increments) up to your limit, so you don’t have to watch every second.

 

Anti-Money Laundering (AML) Checks

All buyers must be verified before bidding. This usually involves submitting ID and proof of address through a secure platform (like Credas). It’s a legal requirement and part of the registration process.

 

Unconditional Auction

Once your bid is accepted, contracts are exchanged immediately. This is the standard format for most property auctions. You’re legally bound to complete the purchase – no backing out.

 

Sold Prior / Withdrawn

Some properties may be sold before the auction date if the seller accepts a pre-auction offer. Others may be withdrawn for legal or personal reasons. Stay up to date by checking the auction listing regularly.

 

Unsold Lot

If a property doesn’t meet the reserve price, it’s classed as “unsold.” However, you can often make a post-auction offer – so don’t rule it out.

 

✅ Final Tip:

 

When in doubt, ask questions. Our team is here to help you navigate the auction process and explain any terms or details you’re unsure about.

 

Ready to bid with confidence?

Have a look at our catalogue, get verified, and start browsing available lots today. With this jargon buster in your back pocket, you’re one step closer to your next property purchase.