Buying at property auction? Come prepared, with these 5 tips.

Going once, going twice, SOLD is what you want to hear, when you’re the highest bidder. Securing the house of your dreams at auction is exhilarating but, at the same time, heartbreaking for those who miss it.

Date:

21-Nov-2019

Category:

Buying

Tags:

Author:

Amanda Smith

Buying at property auction? Come prepared, with these 5 tips.

Going once, going twice, SOLD is what you want to hear, when you’re the highest bidder. Securing the house of your dreams at auction is exhilarating but, at the same time, heartbreaking for those who miss it.

The market is competitive and the process is stressful, so do your best to arrive on the day, confident and ready for a friendly ‘fight’.

Set a limit (and do not go above it).

Make sure you do your preparation and arrive with your home loan pre-approved. You don’t want to get there and be unclear on your financial limits. Know your bidding capacity and stick to it. Ask the auctioneer if there’s a reserve price – the minimum amount that they’re willing to settle for.

Visit various auctions as test-runs.

Experience a few auctions to familiarise yourself with the process and experience. Build your confidence, get a feel for the type of people who attend, and source as much knowledge as possible. Notice the language people use, their tone and timing. 

Learn about the area.

Talk to your buying agent to discover more about the street and area. Find out if anyone has renovated recently, if there are any strata limitations and how the suburb is performing. Obtaining more of a bird’s eye view will help you to make smarter decisions.

Research the buyer & competition.

Can you find out the buyer’s motivation for selling? What about the number of people who are interested in the property? Look at and think about the profile of your competition, as best you can.

Body language.

Keep in mind how you’re coming across, too. Dress well and think about how you’d like others to perceive you. Consider your body language and what you want that to ‘say.’ Stand with your hands behind your back, instead of folding your arms, shoulders tall.

However, your comfort is most important so arrive, well-presented, but keep your focus on the auction, not your persona. Take the emotion out of it, especially if you find a house that that has everything you want. This is where bidding can get out of control.

And, we leave the best tip to last:

Bid, with your Adelaide Hills real estate agent.

While you can follow these strategies and offer a high bid, nothing is guaranteed. Give yourself the best chance, by bringing your real estate company along, who know the industry, the Adelaide Hills, and your (bid) ceiling.

If you’re house hunting in the Hills, First National Nitschke will help you find (and secure) your new property. Leverage our generations of experience in real estate auction sales.