Buying without Viewing
Since the pandemic, most property auctions are now held online and indeed many offer a video walkround of the property rather than arranging in person viewings. It seems to me that the golden rule of not buying without viewing a property unless you have physically seen it is to be consigned to the past and that buyers nowadays are happy to purchase based upon online research only.
Being a Building Surveyor and having spent my whole adult life immersed in property, I can tell you that such an approach significantly increases the risk you take buying at auction.
So this month I thought I would talk you through some of the auction due diligence you should undertake if you are considering buying without viewing a property.
The first thing I would do is conduct a search on the internet of the address of the property you are planning on buying. This will likely give you some sales history data and anything else that was considered worthy of being uploaded to the internet. On a recent purchase in Norfolk, I searched and found an article from a regional newspaper which showed that the property had historically been used for the cultivation of drugs and that it was raided a couple of years previously. This made me aware that there could be damage inside the property and that the electrical system is likely to have been tampered with and hence will require repair or replacement. In respect of sales data, you may be nervous of a property which is being resold relatively shortly after it was purchased or if several properties in the same street have been sold recently as this may suggest some adverse change to the area. This research will also give you a feel for the value that the property could be worth once any refurbishment or improvement works have been undertaken. Clearly this is incredibly important if you are planning on the future resale of the property or wish to raise finance.
Assuming you are happy following this initial internet research, I suggest you look at any photos of the building and see if there is anything which is likely to have been added since original construction. Some websites are very useful for this as they can show images of properties at various dates in the past. Perhaps there is a side extension or loft conversion, perhaps a conservatory has been added or a flue for a wood burning stove. These aspects will have likely required planning permission and/or building control approval. Take a look on the local authority website and see if such permissions were obtained or whether there are any enforcement or other notices outstanding on the property.
The next thing I would do is take a walk to the property to get a feel for the area and ideally the opportunity to look at the outside of the property. Whilst I acknowledge you can do this virtually, there is no substitution for walking the streets to get the measure of an area. During this inspection you should be looking out for any signs of structural movement, perhaps leaning walls or window or door openings which feel slightly out of square. Look for any cracking to the brickwork paying particular attention to corners and beneath window openings. You should also see if there are any large trees within close proximity of the house and see if any root systems have made the ground uneven and perhaps impacted the drainage or the house itself.
Also have a look and see if the damp proof course is visible and whether there is at least 150mm distance from it to the ground level. If present this will hopefully mean that there is no rising damp and associated damage within the property. Also take a look and see if there are any issues with the neighbouring properties. Ones I have come across in the past include overgrown neighbouring gardens, or outhouses and the like which oversail the property boundary with the house I am interested in. All of these issues could be a headache and could impact your ability to sell the property on or achieve finance on it.
Speak to neighbours and see if anyone can tell you anything about the property and why it may be being sold. Such local intelligence has proved invaluable for me in the past.
Aside from this due diligence you should have your solicitor or other trusted professional thoroughly review the legal pack to ensure that any risks in respect of the title and any searches undertaken are fully understood.
Whilst my preference would always be to view a property internally, with careful pre purchase due diligence, you are able to mitigate the risks that you would otherwise take buying blind.
Back