Strategies to get a good deal at property auctionsOnce you have set your mind to buy your dream home you would surely be i...
auctioneer would force the bidders to exceed their maximum amount by encouraging them toenter the bidding early and mainta...
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Strategies to get a good deal at property auctions

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Strategies to get a good deal at property auctions

  1. 1. Strategies to get a good deal at property auctionsOnce you have set your mind to buy your dream home you would surely be in the lookout forthe property being sold at the auctions. Chances are there that you may not have been to theauctions before or even purchased a house before. And you would be a little worried that youwon’t know what to do.You need to keep in mind certain things for getting a good deal at the property auction. It isimportant to verify if you have finalized all important details before the auction date. Forgetting a fair deal, extensive preparation is essential. You need to familiarize yourself with theauction process by visiting as many auctions as you can. Find out everything that you need toknow about bidding by asking questions about the auctioneers. They may use some tactics andtricks to encourage the people to bid. Here you have to become competent by recognizingthese tricks and tactics being used.It is important to inspect the property before the auction date. Here the main point is beingobjective and inspect other properties as well. By doing this you can make an educated guess asto a fair purchase price. Make sure that you would not exceed your maximum amount that youare willing to pay on the auction day. However if necessary you can arrange an independentvaluation. You can seek help from the real estate agent and clarify yours doubts. And also youcan request for the copy of the contract that includes condition report and study it carefully. Ifpossible finalize the home loan arrangement after visiting your lender. Usually you would beasked to pay a deposit that would count up to 10% of the purchase price in order to ensure thatyou have the funds available.One thing that you need to keep in mind during the auction day is that the auctioneer isemployed by the seller to get as good price as possible for their house. Many times a good
  2. 2. auctioneer would force the bidders to exceed their maximum amount by encouraging them toenter the bidding early and maintain the excitement throughout. Auctioneers are experts atrecognizing interested parties and would use their knowledge to set a reserve price at the UKproperty auctions. You can also trick the auctioneer by showing less interest so that the sellerwould lower their reserve. Keep the following tips in mind during the auction.Make sure not to bid before you have to. You need to wait until the reserve price has beenreached before entering bidding. This would surely confuse the bidders and may force the sellerto lower the reserve. Plan your bidding and work out your tactics. You need to stick to yourstrategy whatever happens. The tactics can be learnt if you pay visit to other auctions likechanging increment of the bids away from the auctioneer’s chosen amounts. This would surelyintimidate fellow bidders and shows your confidence. These two tips would surely prove to beuseful in bringing out a fair deal.Source: Property auctions

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