An auction is a public method of sale in which buyers bid and the property may sell when the reserve is met. Auction campaigns can create a clear timeframe and encourage buyers to complete due diligence before auction day. They do not guarantee competition or a sale, so the recommendation should be based on the property, likely buyer pool and current market.
Your agent should explain the campaign timetable, marketing, auction documents, reserve-setting process, bidder feedback and what happens if the property sells before, at or after auction. The reserve remains confidential and should be considered using campaign evidence and your instructions.
Auction purchases are normally unconditional once the hammer falls. Arrange finance, legal review, property checks and any other due diligence before bidding. Confirm registration, bidding options, deposit requirements, settlement and any variation you want to request before auction day.
A vendor may consider an offer before auction, depending on the agency agreement and campaign instructions. If an acceptable offer is received, the auction may be brought forward and other interested buyers given an opportunity to participate. The exact process should be explained by the agent.
Where available, Auctions Live can help buyers follow the auction and may support remote participation subject to registration and the auction conditions. Buyers should arrange this early and not assume that watching an auction automatically enables them to bid.
Q: What is an auction reserve?
A: The reserve is the minimum price at which the vendor authorises the property to sell at auction. It is confidential unless the vendor chooses otherwise.
Q: Can I make my offer conditional at auction?
A: Auction bids are normally unconditional. If you need a variation, raise it with your lawyer and the agent before auction day. The vendor is not required to accept it.
Q: What happens if the property is passed in?
A: If the reserve is not met, the property may be passed in. The vendor may then negotiate with interested buyers or continue marketing the property.
Q: Can I bid remotely?
A: Remote or online bidding may be available, but registration and approval are normally required in advance. Confirm the process with the listing agent.