It is really important that you do your homework when preparing to buy at auction. The best advice is to study the auction approval rate in the area. This will give you an idea of what the properties are going to do and give you a rough idea of what you need to spend. Work alongside your real estate agent and with a little extra research, you will be more prepared for the auction.
As an auction seller, researching the auction approval rate is also extremely beneficial. It will give you a realistic expectation of where to set your reserve price and give you more confidence.
Homes are often purchased pending a building and pest inspection. It is crucial that buyers make sure that a property does not hide any secrets about its health. However, it is also important that the seller has all the information about their home before selling. If you have an open house and then an auction, that information will allow you to have an open and honest conversation with potential buyers. So why not arrange a pre-auction inspection? It will help to avoid unpleasant surprises for everyone.
An average four-bedroom home would cost between $ 400 and $ 500 for an inspection. It may cost you now, but the peace of mind knowing there are no hidden secrets in your home will be worth it.
Prepare your mindset
Preparing your finances and studying in the real estate market often comes first when preparing for an auction. However, preparing your mind to buy or sell is equally important. Having the research behind you means that you can enter an auction with confidence and that’s what will set you apart from the crowd.
It is also important to understand the proxy bidder process. If someone else is bidding on you, there must be complete trust. You will need to make sure they meet the budget with experience in the real estate market.