The Auction Procedure
Step-by-Step Guide to Auction Procedure
Buying at auction is a very popular way to purchase property, with hundreds and even thousands of properties selling at auction around Australia every week. Where the buyer is well prepared, participating at an auction can help you secure the property of your dreams.This article is designed to guide prospective buyers through the major steps in the auction process, though a conveyancer can be consulted if you have any specific questions.
Pre-Auction Preparations
The Reserve Price
The seller will nominate a reserve price. The reserve price is usually not publicised to buyers as it is the minimum price that the seller will accept for their property. If the highest bid on auction day does not match or exceed the reserve price, the property will be ‘passed in’. When that happens, the seller may put the property back on the market or try and negotiate an agreeable price with bidders.
Check the Sales Contract