Risks and legal situations

Online property auction (aukce)

In Czech: Aukce nemovitosti

An online property auction (aukce) is a commercial way of selling, usually online, in which bidders raise their offers and the highest one gets the chance to buy. It need not be a public auction under the law; the organiser sets the rules.

Also called: aukce, online auction, real estate auction, realitní aukce

What it means

In Czech listings, aukce nemovitosti usually means a sale in which interested buyers bid within a set period, most often online, and the highest bid earns the chance to buy the property. It is typically run by an estate agency or an auction platform on behalf of the owner.

An aukce need not be a public auction (veřejná dražba) within the meaning of Act No. 250/2023 Coll. on Public Auctions. In that case it is governed not by that act but by the organiser's contractual terms, which you accept when you register. How a particular event should be assessed depends on how it is organised.

How it works in the Czech Republic

Bidders usually register, accept the auction terms and often pay a refundable deposit. When bidding ends, the winner signs a reservation agreement (rezervační smlouva) or directly a purchase agreement (kupní smlouva), depending on the terms.

Winning an aukce does not by itself transfer ownership. A contract transferring real estate must be in writing (§ 560 of the Civil Code, občanský zákoník), and ownership is acquired only on entry into the land register (katastr nemovitostí) under § 1105 of the Civil Code.

So read carefully what the terms promise: whether the seller must accept the highest bid, when and how deposits are returned to unsuccessful bidders, and whether an auction fee or commission is charged.

Practical example

For example, a house is offered in an online aukce with a starting price of CZK 4 million and a deposit of CZK 100,000 (illustrative figures only). A buyer wins with CZK 4.5 million and, as the terms say, signs a reservation agreement. She has a lawyer check the purchase agreement and the escrow arrangement, just as in an ordinary sale.

What to watch out for

  • Before registering, read the auction terms, especially the deposit refund rules and any fees.
  • Find out who runs the auction and for whom, and check the owner on the title deed (list vlastnictví).
  • Check whether the seller must accept the highest bid or may still withdraw.
  • View and check the property as thoroughly as in an ordinary purchase.
  • Arrange financing in advance; deadlines after the auction tend to be short.

Frequently asked questions

Is an aukce the same as a dražba?

Not necessarily. A dražba is a legally regulated public sale, while an aukce is often a commercial sales method governed by the organiser's terms.

Do I become the owner by winning an aukce?

No. You become the owner only on entry into the land register based on a written contract.

Will I get my deposit back if I do not win?

That depends on the auction terms. Check the refund rules before you pay.

  • Property auction (dražba)A property auction (dražba) is a legally regulated public sale in which the highest bid wins the property. It can be held, for example, as a public auction under the Public Auctions Act or as an auction within enforcement proceedings.
  • Reservation agreement (rezervační smlouva)A reservation agreement (rezervační smlouva) is a contract in which a buyer pays a reservation fee and the seller or estate agency agrees not to offer the property to anyone else for a set period. It does not transfer ownership.
  • Purchase agreement (kupní smlouva)A purchase agreement (kupní smlouva) is the written contract in which the seller undertakes to transfer ownership of a property to the buyer and the buyer undertakes to pay the price. Ownership passes only on entry into the land register.
  • Purchase price escrow (úschova kupní ceny)Purchase price escrow (úschova kupní ceny) means the buyer deposits the money for a property with a lawyer, notary or bank, who pays it to the seller only when agreed conditions are met, usually once the buyer is in the land register.
  • Title deed (list vlastnictví)A title deed (list vlastnictví, LV) is the land register sheet that shows, for one cadastral area, who owns which properties and what burdens them, such as mortgages, easements or a pending change of ownership.
  • Estate agent commission (provize realitní kanceláře)Estate agent commission (provize realitní kanceláře) is the fee an estate agency earns for arranging the sale or purchase of a property. Czech law does not set the amount, but the written brokerage contract must state it or how it is determined.

Sources

Laws and official pages this text is based on (in Czech).

This text is for information only and has not yet been checked by a legal or financial expert. It is not legal, tax or financial advice. Verify important details in the listed sources or with a professional.

Updated 25 October 2026

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