All property investors, whether it’s their first property or if they are a seasoned expert, want to snag a great deal. Heading to your local auction can be a great place to find a bargain.
Here are 3 tips to being successful at an auction.
Do Your Homework
Always research the market, both online and off, then talk to Real Estate Agents so you go into the auction fully informed.
Go to other auctions to see how they work. You may think you know how they work because you saw one once on tv, but in real life, they are quite different.
Once you have done your research and are up to speed with how things operate, always get expert advice on legal, finance and building matters.
Do you know the rules
Auctions have very strict rules so read through them as soon as you get there. In Victoria, the auction rules must be displayed at least 30 mins before the start.
The auctioneer must tell bidders that the auction will be conducted according to the auction rules and regulations.
It is illegal to make a false bid, hinder another bidder, or in any way intentionally disrupt an auction. You can be fined if you are caught doing any of these things.
Stick to your budget
When at an auction it can be easy to get caught up in the moment and the excitement of bidding.
Before you start, have a really clear idea of what your limit is and don’t go over that.
The auctioneer is trained to try to get the best price possible so they might encourage you to compete.
Have you ever bought a property at an auction? Did you score yourself a bargain or get caught up in the moment and pay too much just so you could win?