Top Tips for Auction Season

Auctions can be daunting, but according to Chief Auctioneer Sam Kelso from Ray White for the most part they are a good, sure way to do business.

He has some top tips for vendors and buyers when it comes to auctions:

For vendors:

  • You have more control as a seller.
  • Advertising is important, you have several weeks to find your buyer, advertise strongly and widely go with an agent that has sold the most property around you and knows how to attract the right buyers.
  • Invest some money sprucing your property up, e.g. cleaned if necessary. A quick touch-up to paint and updating of floor coverings can make a big difference.
  • Every little bit helps - if you have unit blocks behind your home plant a row of tall trees or put up privacy screens or a sail etc. If you have more time, consider getting a Council approval for a granny flat/home office in the back yard, which will add value to your property.

For buyers:

  • You know a seller is serious about selling.
  • Most importantly- for first home buyers, self-employed buyers and investores it is important to get in early. Watching a few auctions to see how everything works will give you a head start on the auction process.
  • Organise a home loan pre-approval with your local Loan Market mortgage broker, having your finances in order before auction day will put you in a better position.
  • Pre-plan your auction schedule for inspections, spend some time calling the agents to confirm each property is in your price range (and still available) so you don't waste any time.
  • Once you find the right property make sure the agent knows of your interest so that they don't sell it without including you.
  • Discuss the price expectations with the agent and then generally add about 10 per cent if it is going to auction.
  • Find out how much you can borrow - give yourself an auction limit and make sure you do your sums on price you will be more confident at the auction and wont to be making rushed decisions whilst the whole auction crowd is staring at you.
  • If you like a house but are not quite sure on price the the best rule is to make sure you still go to the auction - you do not want to read that it sold below the price you were willing to pay.

For more information about the auction process contact Ray White Chief Auctionee Sam Kelso