The Real Estate Helpers News
7 Rules for Bidding at Auction
Tips for bidding at auction
It’s easy to make mistakes if you don’t know what to look out for.
Follow these 7 simple rules when bidding at auction. They’ll help keep you safe. Plus, you’ll have a better chance to grab a bargain.
1 – BELIEVE NOTHING AND CHECK EVERYTHING
Always assume real estate agents are lying to you. It’s safer that way.
2 – UNDERSTAND THE PRICE LIES
Agents are notorious for underquoting a property’s likely selling price.
TIP – if you can’t get a straight answer from the agent, you can ask the owners. Just knock on their door. If the property is vacant or tenanted you can contact the owners through their lawyer (you can get the lawyers details by requesting a contact or section 32 from the agent)
3 – TELL THE AGENT NOTHING
If you don’t feel comfortable with the agent – tell them nothing. If they mislead you about the price, what else could they be lying about?
4 – KNOW THE TRUE VALUE
Knowing what other people don’t know is how you make money in real estate. Call our helpline on 1300 HELPER if you’d like a report on property sales price data.
5 – GET GOOD LEGAL ADVICE
A home cost hundreds of thousands of dollars. A lawyer costs hundreds. Talk to an independent lawyer before you sign a legal contract.
6 – DON’T BID TOO SOON
Don’t bid until the the property reaches the reserve price. There’s no point bidding before because the property can’t be sold below the reserve price set by the owners before the auction.
Normally the auctioneer will declare a property ‘on the market’. If you are unsure, ask the auctioneer.
7 – KEEP YOUR HIGHEST PRICE A SECRET