Get a quote for home financeSite Map

Buying at auction

HSBC Amanah

The Amanah Product is not suited for auction properties for two main reasons; turnaround time of normally 28 days is too short for the Amanah Process the bank will not commit to any properties without a valuation - hence in an auction the bidding can go both ways.


They can finance against auction properties and LTV ratio for personal occupancy and buy-to-let is 80% & 70% respectively.

To complete the transactions within the stipulated time period normally which is 28 working days, the applicant will have to complete all the formalities quickly.


They can provide auction property finance, although they would need to carry out a valuation of the property before the auction otherwise the client may exchange contracts at the auction and find he is unable to obtain finance on the property.

If the property is in good state of repair then normal LTV's apply (17% and 20%).  If it has major works required then they would need to assess this on an individual basis, this would depend on the cost of the works required and whether the client has the funds required to do the works.


A word of advice:

Auctions can be an exciting and cost effective way of buying a property but prospective buyers who are unfamiliar with them should take advice from an experienced Solicitor or Surveyor and consider asking them to bid on their behalf.


Please note New Government Regulations

When purchasing you will need to take the following;


Islamic Mortgages Info

The Qur'an (2:276) says: "Allah has permitted trade and forbidden usury" and in 2:278 reminds the Muslims: "O ye who believe, keep your duty to Allah and relinquish what remains (due) from interest, if you are believers."

As a prospective purchaser of Islamic mortgages, we believe that you need to understand the issues which exist, question the authority of the Fatwa's which have been made and look to see what is right for the eyes of Allah.

Copyright © 2011 Islamic Please read our Terms and Conditions
The entire product range offered on this website is Shariah compliant. However, from time to time we will promote relevant none Halal products where no Islamic / Halal alternatives exist. Your home is at risk if you do not keep up monthly payments due under an Islamic / Halal mortgage agreement (your lease and / or diminishing ownership agreement).