An auction is a form of marketing property for a 4 week period. The aim is to give all purchasers an equal opportunity to bid for the property. It is the most accepted transparent process available for buying a home. (The buyer can see exactly who they are bidding against on the day).
WHY AN AUCTION?
The main reason homes are auctioned is due to circumstances where the owners are sincerely motivated to sell their home with the proceeds required by a specific time.
HOW DO I BUY AT AUCTION?
Finance At Grange, we generally offer flexible auction terms for the majority of our auctions. Bidding subject to finance can be arranged, so long as you have a pre-approval in place, and we have sighted that pre-approval and approved it. You will need at least 7 days prior to the auction to arrange this with your bank or finance broker.
Deposit A deposit is required by the successful bidder on the day at the fall of the hammer. The amount specified in the contract is the minimum required on auction day. This must be cash, bank cheque/personal cheque, money order or bank guarantee. This amount varies from property to property, so please contact your agent for the agreed deposit on the property you are specifically bidding on.
Settlement Date Your money to purchase the property must be available to settle at the time frame specified in the contract. Generally the settlement time frame for purchasing at auction varies from 30, 60 or 90 days from the date of purchase.
Registering to Bid You must register to be able to bid on auction day. Please contact your agent to arrange registration paperwork.
F.A.Q.’s Can I buy the home before auction day? This is possible. Speak to your agent to discus how.
What if I can’t buy under auction conditions? See your agent firstly to see if you can request to have the auction conditions altered. Alternatively you can place an offer which can be structured around your specific requirements.
How do I organise my finance to buy at auction? Speak to your bank or broker to pre-arrange finance. Grange Realty Group recommend Catalyst Finance – 9477 4188.
What is the ‘reserve price”? The reserve price is the minimum amount the owner is prepared to accept on auction day. The reserve price is set the day before auction. Please note the Bidding Starts is NOT the reserve price, but merely a starting point for the auction.
How much do the owners want? Obviously the owners want as much as they can get! Although the value will ultimately be determined on the day by the bidders themselves.
Can I have someone bid on my behalf? Yes – you will need to organise an authority in writing which you will need to present to your agent prior to auction day. Your agent can be the nominated person if you require.
How to bid? Raise your hand high or yell out! It is imperative that you stand in a clearly visible position so the auctioneer can see your bid. If you are uncomfortable with this, your agent can bid on your behalf.
Can I obtain a white ant certificate or building inspection prior to auction? Yes – please see your agent.
Are the auction conditions fixed? Yes, however in exceptional circumstances these conditions can be altered. You will need to submit a formal request to the seller prior to auction day. See your agent for this form.
For any other questions please contact your agent.
to the auction to arrange this with your bank or finance broker.