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It provides all the benefits synonymous with traditional auctions, including speed, transparency and reduced risk of gazumping or double-selling, but with the added advantage of being able to bid pressure-free 24 hours a day, 7 days a week, from the comfort of your own home or office via desktop, tablet or mobile phone.
STRAIGHTFORWARD PROCESS FROM START TO FINISH
To bid at Truuli Online Auctions, you will first need to create an account. This requires you to verify your email address, by clicking an activation link that we’ll send to you via email. Once you’ve created an account you can ‘watch’ the lots that you’re interested in (you’ll be kept up-to-date throughout the auction cycle), as well as gain access to the legal packs. In order to place a bid on a lot you will need to complete the bidder registration steps, as detailed below. Please note, the first time you register to bid you will also be asked to verify your mobile number so that we can easily keep in touch in the event of you purchasing a lot.
ENSURE YOU READ, UNDERSTAND AND ACCEPT THE TERMS AND CONDITIONS
You will be asked to read and accept our Online Auction ‘Terms and Conditions’. Additionally, there may be specific documentation relating to the sale of the property you’re registering to bid on that will need to be read and accepted before you are able to bid.
REGISTER YOUR CREDIT OR DEBIT CARD FOR THE BIDDER SECURITY
In order to bid online you will be required to register a credit or debit card for the Buyers Premium. We use Stripe who provide a secure, online card registration facility, and they will attempt to authenticate your card with your card issuer. The Buyers Premium amount and administration fee will be clearly displayed when registering your card. On the fall of the electronic gavel, the winning bidder’s card will be automatically debited for the Buyers Premium amount and admin fee. Please note that no card details are ever stored on our servers – the debit transaction is fully administered by SagePay.
COMPLETE AN ONLINE ANTI-MONEY LAUNDERING CHECK
Truuli Online Auctions are required by law to carry out an online anti-money laundering check on all persons wishing to bid. You will be asked to provide information to verify your identity, including your date of birth, addresses for the last 3 years and at least one of passport, driving licence or national insurance number. This check leaves a ‘soft footprint’ on your credit report but should not affect your credit rating.
RECOMMENDED DUE DILIGENCE BEFORE BIDDING
In general terms, you are strongly advised to view the property and take professional advice as to its condition and suitability. You should also ensure that you thoroughly read and understand the legal pack and any other associated documentation available online and take proper legal advice accordingly. Finally, you must ensure that you understand the contract you are entering into and the financial commitment that you will be liable for should you be the successful bidder.
STRESS-FREE BIDDING FROM THE COMFORT OF YOUR OWN HOME
When the auction opens, you will be able to place bids in line with the pre-determined bid increment levels, using the bid increase (+) and decrease (–) buttons provided. Every time you submit a bid you will be clearly shown whether your bid was successful, and a full list of all bids are displayed on-screen.
Maximum (Proxy) Bids
You are not restricted to placing a bid at the minimum bid amount but can instead increase your bid and place a maximum (proxy) bid in the system. By setting a maximum bid, the system will automatically bid on your behalf to maintain your position as the highest bidder, up to your maximum bid amount. If you are outbid, you will be notified via email, so you can opt to increase your bid if you so choose.
Virtually every lot is sold subject to a reserve price, the minimum price that the auctioneer is authorised to sell for on the day. When you submit a maximum bid, the actual bid placed by the system will depend on whether the reserve price has been met, as defined below.
If your maximum bid is below the reserve price
- The system will place an immediate bid at your maximum bid amount.
If your maximum bid is at or above the reserve price
- The system will automatically increase your bid to be at the reserve and will only bid again on your behalf if you are subsequently outbid by another bidder (up to your maximum bid amount).
- If another bidder has already placed the same maximum bid or higher, they will be the highest bidder and the system will notify you via email, so you can place another bid.
NB: Your maximum bid is kept completely confidential – its presence or amount are not disclosed to the auctioneer, vendor or any other bidder.
1. The current bid on a lot is £90,000. The reserve price has been set at £100,000 (not disclosed) and the lots bidding increments are set at £1,000.
2. Tom wants to bid. The minimum bid amount is £91,000 but Tom decides to place a maximum bid of £97,000. As this is below the reserve price of £100,000 (not disclosed), the system places a bid for Tom at his maximum bid amount and he becomes the highest bidder at £97,000.
3. Jane logs on to bid. The minimum bid amount is £98,000 but Jane places a maximum bid of £105,000. The system automatically increases Jane’s bid to meet the reserve and she is now the highest bidder at £100,000.
4. Tom is notified that he has been outbid. If no further bids are placed Jane would win the lot for £100,000.
5. If, however, Tom then places a maximum bid of £105,000, the bidding would jump to £105,000 and the bid would be with Jane as she bid that amount first.
6. Alternatively, if Tom increased his maximum bid to £106,000, the winning bid would be with Tom.
THE BIDDING EXTENSION WINDOW ENSURES A FAIR CHANCE FOR EVERYONE
The online auction will normally close as per the advertised ‘Auction End Date and Time’. However, if a bid is placed within the final 60 seconds of the auction’s scheduled end time, the auction will be extended by an additional 60 seconds – known as the ‘bidding extension window’.
If a bid is placed in the ‘bidding extension window’, the clock will immediately reset to 60 seconds again, and the auction will only finish when an entire 60-second bidding extension window passes without any further bid being placed, i.e. 60 seconds of ‘bidding silence’. Please be aware the vendor has the right to bring forward, extend, close or otherwise alter the auction end date at their discretion without warning.
BID ‘SNIPING’ – DOES IT WORK?
Unlike eBay, bid sniping will not work on our online auction platform. There is no advantage in leaving your bid until the last few seconds; it will only trigger a 60-second bidding extension window which ensures every online bidder has a fair and equal opportunity to place another bid.
Additionally, if you do leave your bid until the final few seconds you could risk your bid not being received by the platform server until after the closing time, and therefore not being accepted.
LEGAL POSITION WHEN YOU’VE WON THE AUCTION
Conditional Auction terms
This means that the fall of the electronic gavel secures the winning bidder with an exclusive ‘right to exchange contracts’ on the property within the prescribed time frame – usually 28 days from receipt of draft contract, but this will be confirmed in the terms and conditions of sale and/or legal pack. Unlike the traditional, immediate exchange of contracts, this method gives the bidder additional time to carry out surveys and secure mortgage finance before exchanging contracts, whilst the seller undertakes not to sell to anyone else during this period. Please note some properties may be offered for sale by unconditional auction which requires and immediate exchange of contracts. Always check the terms and conditions including in the property documents and listing prior to proceeding.
Traditional Unconditional Auction terms
This means that the fall of the electronic gavel constitutes an exchange of contracts between the buyer and seller. Both parties are legally bound to complete the transaction – usually within 20 working days following the close of the auction but this will be confirmed within the legal documentation.
WE’LL GUIDE YOU THROUGH TO COMPLETION
If you are the successful bidder, we’ll be in touch following the online auction to discuss the next steps. The system will take the Buyer’s Premium amount and Administration Fee from your registered credit or debit card. You may then also be required to pay Stamp Duty on the Purchase Price and Buyer’s Premium. You may also need to appoint a solicitor to act for you in relation to the purchase and if taking out funding to purchase the property you may incur additional fees from your lender or broker.