Beginners Guide to Buying Property at Auction – (07) 3870 1234 – Rules for Buying at Auction


many people are nervous about bidding at
auction until they’ve attended a few! This video
is designed to help you overcome the butterflies in the tummy when you are a first time or infrequent
bidder! It is useful to get along to as many auctions
as possible prior to buying! After a few auctions you will
feel a lot more relaxed about the whole process! Keep an open mind about auction
properties! Many people say they don’t like auctions! This is understandable when you take the
fear factor into account! In reality, auctions are a very good way to
buy most of the time! You already know that the chances are you are dealing with a motivated seller! When negotiations are out in the open, you know exactly where the market is at!
If you are the successful bidder you have usually only bid a relatively
small amount more than the next highest bidder! Sellers
realize that when the last bid is made, that’s
usually what they’l end up with even if they pass the property in! That
means if you are the winning bidder you can walk away on the day, knowing you own the property! The most important thing is to ensure
you have the required funds available, to complete the purchase, at
time of settlement, which is usually 30 days after the auction! A sale at auction
is an unconditional sale, not subject to any terms other than the
standard terms of contract! You’ll also need to have sufficient funds for the deposit, which is usually 10
percent of the purchase price and is normally paid on the fall,of the hammer. It’s also a good idea to introduce
yourself to the auctioneer on the day of the auction! That way, the auctioneer can make sure he or she doesn’t miss any of your bids. Position yourself so that the auctioneer has a clear line of sight to you! Finally, do
your research and make sure that you have a good idea of
what the property is worth! There are usually two prices! What an investor will pay and what an owner occupier will pay! Remember if you really want the property it’s
okay to pay a bit more! That way you will own the property, rather
than regretting that someone else got it, and a few thousand
today always seems like just a few hundred
tomorrow, especially when the market has gone up! If you still feel nervous about bidding, you can always engage a professional
auctioneer to bid on your behalf! Good luck at your next
auction!

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