The Auction Approach
Auctions are a popular way for vendors to sell their property at the moment. They’re a good way to drive up interest, and to incite competition between buyers. But if you’re looking to buy, they can be a bit intimidating, which is why we’re giving you the quick tips on how to make them work for you.
It’s a good idea to attend a few auctions before making a bid, to give you an idea of how the process works, and what goes on. If there’s a property you know you want to buy, make sure you have financial pre-approval from your lender before going to bid. If you win, you’re legally obligated to pay, so you don’t want to be on the hook for something you can’t afford.
Once you’re ready, you’ll have to register with the auctioneer on auction day before you’re allowed to bid. You register by giving your name, address and phone number, and show proof of identity with a licence, passport, or 18+ card. Once you’re registered, you’re given a number which you must display when bidding.
It’s important to set a limit to what you’re willing to bid. There’s no point in making the winning bid if you can’t afford the price. Remember not to get too emotional about the auction process; if you win, you’re legally obligated to both pay the 10% deposit and to purchase the property. If you can’t pay, you might lose your deposit.
At the end of the day, auctions can be a great way for both parties to come out on top. Just remember to prepare beforehand, and to keep a steady hand, and you’ll be able to do your best towards buying your dream home.