After the hammer falls: exchange, completion, and what you owe

Exchange on the day

In many modern auctions you are legally bound as soon as the auctioneer declares the lot sold. You will sign the contract memorandum, pay the deposit (commonly ten percent of the purchase price unless the special conditions say otherwise), and pay any buyer’s premium stated in the catalogue.

Who does what next

Your solicitor receives the signed papers from the auctioneer’s team and opens a completion file. They liaise with the seller’s solicitor on transfer of the balance, searches you still need, and any lender requirements.

Completion windows

Twenty working days, twenty-eight days, or longer — the legal pack should spell it out. Miss completion without agreeing an extension and you risk losing the deposit and facing further claims. If delays come from your lender, communicate early; silence is what turns recoverable problems into defaults.

Insurance from exchange

Once you have exchanged, you carry the insurable risk in most setups. Arrange buildings cover to start from the exchange date even if you have not got the keys yet.

Snagging and access

You normally get a vacant possession completion unless the contract says otherwise. If tenants remain, the pack should have been explicit; if it was not, that is exactly the sort of issue your solicitor should have flagged before you bid.