Buying commercial property at auction in the UK
At a UK commercial auction the fall of the hammer is exchange of contracts. You pay a deposit on the day, you're committed, and you have a few weeks to complete. That speed is the whole appeal, and the whole risk: everything you'd normally check during a private sale has to be done before you bid.
This guide walks through what happens, what it costs, and what lots actually sell for, using results from the 18 auction houses Cornerlot reads every day.
Key facts, 15 Oct 2026
- At a UK commercial auction, the fall of the hammer is exchange of contracts: the buyer is legally committed.
- The buyer usually pays a 10% deposit on the day and completes about 20 business days later.
- Of 100 priced sales in Cornerlot's results, 95 (95%) sold at or above the guide; the median sale was 1.10× the guide.
- 58% of lots offered sold, before or at the auction.
What lots really sell for against their guide
Guide prices are set to bring people into the room, and our results show it. Of the 100 commercial lots in our feed that sold with a published price, 95 went at or above their guide, and 32 (32%) went for 20% or more over it. The typical sale came in at 1.10× the guide (the median; the average is 1.32×).
Based on 503 lots whose sale has happened (293 sold, of them 81 before the auction, and 210 unsold) and 100 sales where the house published the price. Not every house publishes prices, so treat the price figures as a sample.
So budget on the guide being the start, not the answer. Work out the most you'll pay from the rent, the lease and the building, and stop there. For the income side, see how London yields compare with the rest of the UK on our page for commercial property auctions in London.
Before the auction: the work that matters
Read the legal pack
Every lot has a legal pack: title, searches, leases, the special conditions of sale and often a report on title. The special conditions are where the surprises live, such as extra fees passed to the buyer, arrears, or a shorter completion date. Have a commercial property solicitor read it before you bid, not after. Packs are updated up to the day of the sale, so check for addenda.
Check the lease and the tenant
For an investment lot the lease is the asset. Note the rent, the term left, any break clauses, the repair obligations and when the next rent review is. A high yield usually reflects a risk: a short lease, a weak tenant or a building that needs money.
View the property
Most houses run block viewings for lots with vacant possession. For let lots you'll often only see the outside, so look at the street too.
Line up the money
You need the deposit on the day and the balance within weeks. Completion is usually 20 business days after the auction under the Common Auction Conditions most houses use, and sometimes shorter. A mortgage rarely moves that fast, which is why many buyers use auction finance (a bridging loan) and refinance later.
On the day
Most sales are now online or live-streamed, with online, telephone and proxy bids. You register with the house in advance with ID and proof of funds. When the hammer falls you've exchanged contracts and pay the deposit, usually 10% of the price, often with a minimum amount set by the house.
What it costs on top of the hammer price
- Buyer's fee. Each house sets its own, published in the catalogue or the legal pack. As one example, Auction House UK lots currently list a buyer's premium of £1,500 plus VAT.
- VAT on the price. If the seller has opted to tax the building, VAT is added to the price unless the sale qualifies as a transfer of a going concern. The legal pack says which.
- Stamp Duty Land Tax in England and Northern Ireland, on non-residential rates: 0% up to £150,000, 2% to £250,000, 5% above. Scotland (Land and Buildings Transaction Tax) and Wales (Land Transaction Tax) have their own rates.
- Costs from the special conditions, such as the seller's search fees, legal costs or rent arrears. Always add these up before bidding.
- Your own solicitor, surveyor and lender fees.
What happens if a lot doesn't sell
In our feed, 210 lots went unsold against 293 that sold. An unsold lot hasn't failed for good: houses often take offers straight after the sale, sometimes at or near the reserve, and some lots come back in a later catalogue at a lower guide. 81 lots in our results sold before their auction, so an early offer on a lot you want can work, though it usually means paying close to what the seller hoped for.
A checklist before you bid
- Solicitor has read the legal pack and any addenda
- You know the rent, term left, breaks and repairing terms
- You've added the buyer's fee, VAT, stamp duty and special-condition costs to your maximum
- Deposit ready on the day, and the balance arranged for completion
- You've set a top bid and will stop there
Where to find lots
Right now there are 722 live commercial lots across the UK in the catalogues we read, 301 of them guided under £100,000, with a median gross yield of 11.1%. They're spread across 18 auction houses, each with its own site and sale dates. Cornerlot puts them in one list and emails you the ones that fit. Start with upcoming commercial property auctions in London, or set up a search.
How we get these numbers
Cornerlot reads the online catalogues and results of UK commercial auction houses every day. A lot counts as sold when the house marks it sold, before or at the auction; the sale-to-guide figures use only sales where the house published the price. The numbers on this page refresh every hour.
This guide is general information, not legal, tax or financial advice. Auction conditions differ between houses and lots: always read the legal pack and take advice before you bid.