AUCTION TIPS FOR BUYERS
#1: Auctions give you an outcome on the day:
The key benefit of an auction is that the owner is ready to sell. As a buyer you avoid what can be protracted and sometimes daunting negotiations.
If you have been through this before you know what we are talking about. Nervous waits, offers being made, lines in the sand being drawn. While it can be a rush it can also be plain exhausting.
With auctions, you have been through the preparations and are buying ready. You have inspected the pest and building reports provided to you, you have been in dialogue with your solicitor and bank manager. And most importantly you have got your offer in mind based on the research you and your supporters have carried out prior to the day.
As such, your work upfront pays off on the day. You will get an outcome, and can happily bypass any drawn-out processes.
As an owner, you know there is competition at the auction to purchase your property, and you are protected by your reserve price. Auctions are transparent and provides full visibility to all parties involved.
#2: We are all in the same boat:
Whether you have bid at many auctions before, or if this is your first time, we are all in the same boat and Auctions can be nerve-wracking, with both buyers and sellers experiencing much of the same emotions on the day. Our advice is to take a step back, have a game plan in order and hold your nerve.
If auctions are new to you, please feel free to come along to any of our upcoming auctions and ask any questions you may have.
#3: Preparation matters:
If you are planning to bid at auction, you can register with the selling agent at any time prior to the auction, such as when you inspect the property, or on the day itself.
If you pre‑register, you will still need to show the agent your proof of identity on auction day. The agent will then give you your bidder’s number.
It is always best arrive a little early to get a feel for how the auctions are running as this can help make any final preparations. You can also have a chat to your agent if you have any further questions.
#4: Your strategy on the day:
When you arrive on the day choose a visible position to allow yourself to see and be seen during the auction. Further, he recommends making a strong offer early on to knock out any competition who is not as serious about the property as you are. His rationale is this will place you on the auctioneer’s radar and it can also stifle any competitor bidding because your offer is assertive.
#5: After the Auction:
If your offer is successful you can celebrate your property with friends and supporters knowing the deal is sealed with your 10% deposit and contracts exchanged. If you just missed out, know that by attending the auction you have signalled to the market that you are ready to buy. This will place you in an optimal position for first inspections when new properties come on to the market over coming weeks.