Hidden costs
Commission, overdue IMI, renovation, regularisation, waiting for possession and litigation can quickly erode the advertised discount.
Free tool
Property Auction Analyser.
Assess whether a bank auction property is a genuine deal or a trap. Calculate the real discount, hidden costs and Deal Index.
Reading the deal
The hammer price is not the real cost.
Deal Index
Converts the real discount into a simple scale: a 50% real discount equals 100 points. Use the score as a screening tool, never as a substitute for legal due diligence.
Formulas
From advertised discount to real discount.
Costs considered
CommissionPrice × commission %
OpportunityMonths × monthly cost
Final costPrice + commission + IMI + works + opportunity + litigation
Discount and index
Nominal discount(Market − auction) / market
Real discount(Market − final cost) / market
Deal IndexReal discount × 2, capped at 0–100
Related tools
Continue analysing the deal.
Frequently asked questions
Frequently asked questions
What does the final total cost include?
Auction price, commission, outstanding IMI debt, renovation or regularisation works, opportunity cost and pending debts or litigation.
What is the difference between nominal and real discount?
The nominal discount looks only at the price. The real discount factors in all estimated costs.
Does the Deal Index replace legal due diligence?
No. Always verify encumbrances, occupancy, proceedings, debts and auction conditions with qualified professionals.