Auctions can be a risky way to purchase property and you will most probably, always end up overpaying the actual market value.
Competition at the auction is naturally going to drive the price up and in this cooling market, this can be a really bad move.
Buying property at an auction is an unconditional purchase, which means that you are buying the property as seen.
So if there are issues, they become your responsibility and there is no cooling off period.
Also, you need to get all your finances in order before you even attend the auction and in this climate, this is becoming a more difficult proposition.
If a property is passed in because the bidding does not reach the reserve, the first right to negotiate further goes to the person who placed the highest bid.
If this is you, the vendor’s agent should give you an opportunity to negotiate in private.
If the agent doesn’t disclose the reserve price, it is best not to deviate from the highest bid that you made at the auction itself.
If the agent does disclose the reserve, if you don’t match the reserve price with your offer, the agent is free to negotiate with other interested buyers.
At RealRenta, we make it our business to work with Australia’s premier property developers and, in doing so, are able to help you identify, understand and assess the potential capital growth, rental return and tax benefits of your next investment.
We’re focused on getting you priority access to developments in Australia’s fastest-growing suburbs.
RealRenta currently has an extensive selection of new projects, house & land packages, townhouses,developer specials, one off price reductions and rebated stock.
Speak with us today for the latest offerings.
Contact Marlene Liontis 61 417 693 547 or email email@example.com
Thursday, 1 November 2018