Auction

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Auction bids are usually unconditional offers to purchase the property, which means you are committed to buying the property. Make sure this is the right property for you before you attend the auction. You'll need to have your finance confirmed before you bid too.

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Usually, you will need to pay the agreed deposit by setting up an internet banking payment after the auction.

Deposits are usually around 10% of the price reached in the auction.

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The reserve is the minimum price the seller will accept for the property. It is private and confidential to the seller.

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A pre-auction offer can be made before the auction day. Usually you will know the property can be sold earlier because it will be advertised as 'unless sold prior'.

If this happens, the auction may be held earlier than advertised or the auction may be cancelled.

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If you win the auction, you’ll have to buy the house. It’s important to sort out your finances before you start bidding.

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Not every property sells at auction. When the bids for the property don’t reach the amount the seller wants for the property (the reserve), it is ‘passed in’. The seller may then choose to sell their property through a different sales method (for example, by negotiation).

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If the property has a reserve price, the auctioneer (or a representative) will clearly announce a bid on behalf of the seller to help the auction meet the reserve price or to keep the bids moving. A seller cannot continue to bid on the property after the reserve is met.