Important: This guide is provided for general information only and does not constitute legal, financial, or professional advice. While every effort has been made to ensure accuracy as at the date of publication, auction terms and conditions vary between auctioneers and can change without notice.

EAS Finance does not provide regulated financial advice. Before bidding at auction you should take independent legal, financial, and tax advice, and satisfy yourself that you understand the full costs and risks involved. Always check the legal pack and Special Conditions of Sale, as these documents take precedence over general guidance.

EAS Finance cannot accept responsibility for any loss, cost, or liability arising from reliance on this guide. EAS Finance connects clients with funding options; we do not provide regulated financial advice. 

Executive Summary

There are two main ways of buying property at auction: the traditional auction route and the Modern Method of Auction (MMoA). Each has different costs and timelines. Always check the Special Conditions and legal pack carefully, as they override general expectations.

Wales

• Property auctions in Wales generally follow the same model as England, using the RICS Common Auction Conditions.

• Same rules apply:
  
  

  • Exchange at the fall of the hammer.

  • 10% deposit payable on the day.

  • Completion normally within 20 working days (≈28 calendar days) unless varied.

  • Conveyancing and SDLT (technically LTT – Land Transaction Tax in Wales) are the main points of difference:

  • SDLT doesn’t apply; instead, the Welsh Government’s Land Transaction Tax (LTT) rules do.

  • Otherwise, the buying process and risks (insurance from exchange, legal packs, Special Conditions) are the same.

Wales – Land Transaction Tax (LTT)

• Introduced in 2018 when Wales gained devolved powers.

• Paid to the Welsh Revenue Authority (WRA).

• Thresholds and rates are set separately by the Welsh Government, and are not identical to SDLT.

• Current standard (residential, as at 2025):

  • 0% up to £225,000 (lower than SDLT’s £250k threshold)

  • 6% on £225,001–£400,000

  • 7.5% on £400,001–£750,000

  • 10% on £750,001–£1.5m

  • 12% on the portion above £1.5m
    
    

• Surcharges:
  
  

  • +4% higher residential rates (compared with England’s +3%)

  • Applies to buy-to-let, second homes, and companies
    
    

Key Differences

1. Thresholds: SDLT starts at £250k (England), LTT starts at £225k (Wales)

2. Rates: LTT rates jump more steeply in the mid-range (£225k–£750k)

3. Surcharges: Wales is harsher: +4% vs England’s +3%

4. Administration: SDLT is run by HMRC; LTT is run by the Welsh Revenue Authority.

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