Just knowing the listing agent and being familiar with potential rival bidders is not enough if you want to have a firm grasp on an auction.
According to Real Estate Buyers Agents Association (REBAA) president, Cate Bakos, buyers are missing out on a little-known opportunity to get the competitive edge by not getting to know their auctioneer.
“They don’t call it street theatre for no reason,” said Ms Bakos.
“Auctioneers are human and like all of us they have their own quirks, style and individual approach.
“Missing the chance to meet them before an auction limits your ability to have an influence on the auction itself.
“A quick chat, a smile and handshake can go a long way.”
Ms Bakos said the auctioneer can give an insight into the reserve price or they may appreciate the offer to kick off the bidding.
Talking with the auctioneer prior to auction can determine their appetite for vendor bids or determine the momentum of bids at the start.
“The rationale for a friendly chat isn’t just about seeking a hint on the reserve, or striking agreement on starting bids and increments,” she qualified.
“It goes deeper than that.
“Buyers need to assure the auctioneer they are there to buy, completely confident about the task at hand, and willing to play fair with them.
“Let them know you will be placing a bid and that you need their attention when the bidding is underway.
“Make sure you’re loud enough as you always want your bid to be noticed.
“Being overt about the fact that you are bidding ensures the agents won’t miss the bid.”
REBAA is Australia’s largest industry body of accredited buyers’ agents with licensed professionals in every state.
They are experts at searching, evaluating and negotiating property purchases and most offer auction bidding services.
“If you’re not confident bidding at auction yourself, get an independent expert on side, preferably a REBAA accredited buyer’s agent to bid on your behalf,” said Ms Bakos.
“Buyer’s agents know and understand the auction process inside out and they know which strategy works best.”
It’s their auction, their rules. The auctioneer can set the amount by which bids increase. These are called ‘rises’ or ‘bidding advances’. You can bid at the amount stated by the auctioneer or offer an alternative amount but it is up to the auctioneer whether or not they accept an alternative amount.
The auctioneer may:
- Refuse a bid at any time during the auction, including when the auction hammer is falling.
- Resume the auction at the last undisputed bid or start the bidding again, if there is a dispute over a bid.
- Refer a bid to the seller at any time before the conclusion of the auction.
- Withdraw the property from sale at any time.