Friday, March 28, 2008

Happy Bidding!

You open the paperÉ "Interest rate rises"

Turn on the TVÉ "Housing affordability's at an all time low"

Change the channelÉ "Reserve Bank Ð will interest rates rise again?"

We all know that everywhere you turn at the moment there's something negative about the property market. Whether it's regarding rate rises or the effect the crash in the US is having on our market Ð it's there in print or flashing across our television screens.

The market is somewhat in a state of confusion which is causing buyers to be hesitant, not make any quick decisions and keep their hands in their pockets when it comes to auction day.

If you're looking to buy Ð your ultimate goal is to secure a property for yourself that you love at a price that you're comfortable with. Often, purchasers are nervous about auctions. They've either never bid at one or just generally don't like them.

In today's market buyers should be loving auctions!

If you're at the auction of your dream home and no one is bidding that doesn't mean you shouldn't either. The best position to be in at auction is to be the final bidder. If the property goes above reserve, fantastic! You've just bought a new home. However if it doesn't you are in the position of having the first and exclusive right to negotiate a sale price with the Vendor Ð anyone else who may have been interested will miss out. You want to be in that first position.

If you're attending an auction sometime soon, here are a few golden rules to assist you in bidding confidently on the day.

Set your price limit
You want to have set firmly in the mind your price limit before you bid. This will allow you to be confident that if you are the lucky purchaser that you haven't over extended your finances.

Register as a bidder
At a Toop&Toop auction you're required to register your intention to bid prior to the auction. This allows both the auctioneer and agent to know which parties are interested, ensuring no one misses the opportunity to purchase the property.

Don't be afraid to start the bidding
It's well known that at auctions nobody ever wants to start the bidding Ð but as one of our auctioneers often says "It doesn't matter where we start, it's where we finish that counts".

So put your hand up and get the ball rolling!

Bid confidently Ð make sure you have the final say!

Should the property not reach reserve ensure that you are in the ultimate position to negotiate with the vendor by being the final bidder on the day.

We hope this helps however if you have any further queries regarding auctions feel free to contact your location Toop&Toop office and ask to speak with one of our auctioneers.

Happy Bidding!

Karen Raffen, CEO <>
© Toop Real Estate Group

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