AUCTION PURCHASE AGAINST THE CLOCK

The Background

An existing client approached Eastgate for assistance with auction finance for a run-down property. The property required a comprehensive refurbishment, including a new bathroom, kitchen, electrical work, and redecoration.

The Challenge

The auction contract imposed a strict completion deadline of 20 working days. Failing to meet this deadline would result in the clients losing their £17,000 deposit. Speed was crucial, necessitating an approach to a lender capable of swift action.

However, upon receiving the valuation report a week later, we discovered that the property was constructed from concrete—a material outside the lender’s policy. As a result, they were unable to proceed with the application.

The Solution

With less than 15 working days remaining, we introduced the client to a new lender. This lender was willing to consider a desktop-based valuation rather than a physical inspection. Within just one hour, we obtained formal approval, and the solicitors were instructed shortly thereafter.

We took pride in successfully completing this application within the 20 working days required by the auction house.