Purchasing property at auction can be a great way of getting it at a competitive price, as well as the added bonus of avoiding the traditional lengthy process of buying houses/land. That being said, it is certainly not recommended that you just pitch up and start bidding!
There are varying opinions on auctions and if you have talked to others you are sure to have heard things like; ‘for a good deal forget estate agents and get to an auction’ or ‘auctions are full of properties being sold by people desperate to sell, so you will get a bargain’. In some cases this could be true and you can walk away with a true diamond, for example there could be repossessed properties being disposed of by lenders or perhaps those that don’t attract much interest on the day result in you walking away with a steal.
On the flip side of the coin however you may hear ‘if it’s being sold at auction there must be something wrong with it’; to be honest, as long as you do your research the risk of purchasing a dud is reduced significantly. When it comes to prices, believe it or not, a large number of properties sell for more at auction than they would through an estate agent. This proves the age old statement that it is easy to get into a ‘bidding war’ in the auction room, and that you should set a limit prior to attending.
The articles in this section offer a range of tips and advice aiming to arm you with all the relevant knowledge to purchase at auction.
A list of things to think about in preparation for purchasing at auction. Go to auctions Visiting the auction rooms a few times before going with the intention of bidding is highly recommend...