Biddit.be – A new transparent and safe online platform for public auction
On 8 May 2018, Biddit.be was launched by the Federation of Belgian Notaries (Federatie van Belgische Notarissen - Fednot), an online platform for public auction of real estate.
Since many years, public auctions of real estate assets are executed by notaries and are organised in the public auction sales hall or sometimes in the local café (well yes, welcome to Belgium).
In a judgment dated 9 June 2016, the Belgian Supreme Court confirmed the legal monopoly of a notary public to organise and sell real estate assets through a public sale. If the asset was sold through a public auction website, such sale was not considered valid and could even be annulled. In response to this case law, the legislator has created a legal basis to organise and sell real estate assets through a public auction website in the new Insolvency Law of 11 August 2017.
Since 8 May 2018, making a binding offer can be simply done from your computer at home (with use of an e-ID reader) or even from your mobile phone (with use of the app Itsme). You can make an offer manually or automatically by pre-setting a maximum amount for your bid. From the perspective of the seller, the major advantage of such online auction is that you reach more people, which means more bidders.
Moreover, each offer you make on the online platform is visible for every visitor on Biddit.be, which makes the use very transparent. The identity of the bidder is however not disclosed. The periods to make an offer consist of 8 to 10 days. Once the bidding period is terminated, you immediately receive a notification. In case you are the highest bidder, the notary in charge will contact you to finalise the acquisition.
And above all, the sale will be completed much quicker via Biddit.be compared to a classic sale, where it takes approximately between 3 to 4 months to finalise the notarial deed. With an online sale at Biddit.be, the notary performs all real estate searches in advance, limiting the timing and process of finalising the notarial deed up to 2 or 3 weeks.
After a whole series of IT projects and collaborations with the government, Biddit.be is a new step in the digitalisation of the notary sector.
OliviaOosterlynckAttorney at law Associate
Olivia Oosterlynck is a member of the Loyens & Loeff Real Estate Practice Group in Belgium. She is an associate in our Brussels office.T: +32 2 700 10 45 E: email@example.com