10 Hot Tips For Buying At Auction

​You might prefer to purchase by private treaty, but the home of your dreams is up for auction. Here are a few tips that might help.
Prior To The Event

• Use your research and budget to help you identify a ‘walk-away’ price.
• Have your finance already in place and attend the auction ready to write a deposit cheque.
• Attend some auctions beforehand to experience the atmosphere and observe different bidding strategies.
• Organise any amendments to the contract, such as a longer settlement period, prior to the auction. Talk to the agent and get agreement from the vendors in writing.
• Have pest building and any other reports organised because if you are the winning bidder you exchange contracts on the day unconditionally.

On The Day

• If you’re going to start the bidding, start lower but not don’t be silly about it
• Project confidence – make the other bidders think you have no limit.
• Make your bids fast and assertive. Agonising over your next bid is a sign of weakness.
• Call out your offer in full (i.e. say “$350,000” instead of the increments, i.e “$5,000”).
• If it’s going to pass in, make sure you’re the highest bidder, as this allows you first right to negotiate.
• Stick to your ‘walk-away’ price. It’s better to feel the short-lived disappointment of missing out on a property you love than the long-lasting remorse of paying too much