If you willing to take a risk and think you have the skills to beat others at a game of skill and strategy, this is an interesting alternative to your traditional auction and might be a way to get onto the ever-elusive property ladder.
In the simplest terms, Humraz is a property auction with a difference. Participants reserve and buy seats at forthcoming auctions. The price of the seats vary depending on the value of the lot, from £10 to £100.
It is the goal of the bidder to secure the lowest unique bid by the time the auction closes. The relative status of each bid is provided so you can track where the lowest unique bid lies.
This system guarantees that the lowest unique bid for a property will be a fraction of the actual value. For example a property worth £300k will sell for less than £15k. The seller however will realise its full value through revenue gained by seat sales.
Humraz this week reported increasing interest from high-flying graduates in top city jobs who have found themselves priced-out of the UK property market.
One recently-qualified solicitor at a top London commercial law firm has reserved a seat at a forthcoming auction, citing ‘sky-high property prices and no 100% mortgages on the market’ as the principal attractions of Humraz’s unique approach.
The 26-year-old earns an excellent salary, but cannot afford to buy within commuting distance of his Square Mile office. Should his auction strategy result in him buying one of the properties currently available for booking, he plans to sell the asset to generate a sizeable deposit for a London flat.
‘Humraz is attracting a lot of bright individuals who have spotted its potential,’ says the site’s founder Asmat Monaghan. ‘Because buying something for a small fraction of its value is counter-intuitive, most people assume it’s very complex. In truth, it’s actually pretty straightforward.’
However he advises participants to try the online auction simulation or register for free to participate in one of its regular training auctions.
‘Our auctions are extremely fast-paced: they require real mental agility and skill, so not everyone grasps them immediately,’ says Monaghan. ‘That’s why we provide plenty of opportunities for anyone to get to grips with the system.’
humraz.com