1. There is a risk that the sales contract is invalid. If the seller wants to sell the house without two certificates, the first legal obstacle is the provision of Article 37 of People's Republic of China (PRC) Real Estate Management Law. According to this article, if the seller fails to register and obtain the ownership certificate according to law, the real estate shall not be transferred. Therefore, if the seller sells the house before obtaining the house ownership certificate, the validity of the sales contract is to be determined. If the seller has not obtained the house ownership certificate when the dispute occurs, the sales contract shall be deemed invalid. At the same time, activities such as buying, selling, giving, replacing, inheriting and renting cannot be carried out.

2. No title certificate means no right, and all improper risks come from this. In the auction industry, the bigger problem is that no one has the right for the time being. Because of these two characteristics, risks cannot be completely eliminated.

3. In reality, most second-hand houses without two certificates are auction houses. Before the completion, there is no way to judge the quality of the house, which will inevitably leave quality hidden dangers for the delivery of second-hand houses.

4. The sale of second-hand houses without two certificates cannot be registered in advance, leaving a loophole for the seller to "sell one room and two houses". Once the house price rises and the default cost is too low, the seller is very likely to sell the house to others. There are also risks of non-performance of contractual obligations: failure to deliver the house, failure to deliver the house on time, quality defects, etc.