What if I’m using a mortgage or bridging finance?
Using a mortgage or bridging loan to fund an auction purchase is common — but it comes with major risks unless everything is in place before you bid.
Unlike a normal house purchase, auction sales have strict deadlines, usually 14 or 28 days from the date of the auction. This means you must complete within that time, regardless of whether your mortgage or loan is ready.
WHAT CAN GO WRONG?
Most mortgage lenders require:
- A valuation.
- Full title checks.
- Satisfactory legal documents.
This process often takes longer than the auction completion deadline, especially if the legal pack has issues (e.g. missing planning documents or lease defects). Bridging lenders are usually faster, but: They may still require legal checks, and Interest rates and fees can be very high.
WHAT HAPPENS IF THE FINANCE DOESN’T ARRIVE IN TIME?
- You will default on the contract.
- You will lose your 10% deposit.
- The seller can claim additional losses if the property is re-sold at a lower price or with added costs.
- You could face court proceedings and a County Court Judgment (CCJ).
The auction contract will not give you extra time to secure finance — even a short delay can have serious consequences.
WHAT YOU SHOULD DO BEFORE BIDDING
- Speak to your lender or broker in advance
- Have an Agreement in Principle or confirmed facility
- Make sure your solicitor can review the legal pack quickly
- Be prepared to complete on time, even if using cash to bridge any gap
SUMMARY
If you’re using finance to fund your auction purchase, everything must be ready before you bid. You cannot rely on getting an extension — and the financial and legal risks of delay or failure are severe.










