A selection of property questions answered

Is it too late in the season to auction at the end of June?

We hope to bid for a house at auction at the end of this month (May). We would have to put our own house on the market immediately. We have had two estate agents around this week and both said our house was suitable for auction, which would mean that the earliest auction date we would have is the last week of June - but is that too late? Isn't the whole property market winding down by then? We know that agents will say just about anything to get a sale and we are hoping for some independent advice.

Going by the past couple of years it's fairly safe to say that the end of June is not too late to auction your house. There was a time when the last glut of houses for auction came on the market in the week after Easter and, once they were sold three weeks later, that was that.

However, the selling season goes on longer these days simply because of the tremendous movement in the market.

One agent did say that viewing patterns in some areas change from the start of June on, with Thursday viewings becoming more important because, once school holidays start to kick in, more and more people seem to decamp to holiday homes at the weekend.

The most important thing for you to do, and by now you should have done it, is get your finances in order. Just because your house is going for auction doesn't mean it is going to sell on the day, so you need to be prepared for some bridging finance.

Also, as your lender will have told you, interest rates are expected to rise in June so you should factor that in to your finances. If you are successful at the auction you will want to negotiate the longest possible closing date so bear that in mind, it might give you a couple more weeks.

As for the agents - yes, they are operating in a very competitive market and they are sales people, so they do want the sale. However, reputable agents know that it's not in anyone's interest to put a house on the market at a time when it has no chance of selling - agents will always, if they think it's best, advise holding off a sale until a better time. In your case it's all the same to them whether they get their commission in June or September.

Does stamp duty apply in the case of a house swop?

We are exploring the possibility of swopping houses with an aunt. We have a three-bedroom house with a small garden, her's is much larger and more suitable for a family home. We are both happy with the financial end but wonder about stamp duty. Does it apply in the case of a swop?

Yes, it does, but at a reduced rate. There is such a thing as consanguinity relief. This applies to transfers of land, buildings and such like to certain relatives - for example, a parent, grandparent, step-parent, child, brother, sister, half-brother/sister, aunt, uncle, niece, or nephew.

In your case, half the normal rate of duty applies. You don't say the value of the house so we can't calculate the stamp duty for you, so you should go to www.revenue.ie to calculate your obligation.

Send your queries to Property Questions, The Irish Times, 10-16 D'Olier Street, Dublin 2 or email propertyquestions@irish-times.ie.

Unfortunately, it is not possible to respond to all questions. The above is a representative sample of queries received. This column is a readers' service and is not intended to replace professional advice. No individual correspondence will be entered into.