Are you considering purchasing a home by means of an auction, but are unsure whether you’ll be successful or not? If so, continue reading to learn more about how to not only navigate, but also master the auction process from start to finish.
Learn to Understand Body Language
Once you have learned to ready specific body language cues, you could be well on your way to obtaining your dream home at the next auction you attend because it will enable you to reveal when competitors are nearing their limits.
For example, when couples are attending an auction and they look directly at each other, it’s usually an indication that they have already agreed on a maximum purchase amount ahead of time and they have now either reached that amount or are close to it. This provides you with an ideal opportunity to raise your bid, which could result in a few competitors walking away at this point.
Don’t Fall for the Auctioneer’s Tactics
Auctioneers use various techniques to get buyers to keep raising prices. For instance, when calling, ͞First, second, third,͟ it encourages a sense of urgency among bidders because they think that if they don’t bid immediately, they will lose out.
Another tactic auctioneers use to increase feelings of urgency among bidders is to grab the gavel because this makes them think that the initial reserve price has been met.
Perform Research Ahead of Time
It has been suggested that several real estate agents under quote on house prices so they can get as much interest as possible at auctions. However, it is strongly recommended that you perform research ahead of time to help determine which homes are currently for sale and their prices, as well as the prices that homes have recently sold for in the area where the house is being auctioned.
All of this information will enable you to see more or less what the house should be selling for. Realestate.com.au will often be able to provide you with the above information.
Don’t Hesitate when Bidding
Research has revealed that if you take longer than a minute or two to make a bid, it shows that you are either not completely confident with the auction process or that you have reached your financial limit and are too nervous to bid again. Always bid confidently and know exactly how much you will be able to afford to spend before arriving at the auction.
It is also recommended that you arrive at the auction early to not only choose a great vantage point to bid from; it will also enable you to see how many other bidders you will be up against in the beginning. If there are several other bidders, it may be a good idea to open with a strong bid. This could reduce the amount of bidders in the beginning of the process, meaning that you will stand a better chance of placing the winning bid.
Attending a few auctions before actively bidding at one will also enable you to see exactly how the process works. Once you have mastered the above steps, you will be well on your way to obtaining your dream home at a great price.