Bang on Make it yours

Real estate auction rooms can be daunting. Colleen Hawkes has the best plan of action for when you really, really want that property.

Who’s more nervous at an auction – the vendor or the purchaser? If you really have your heart set on a property and the only way to secure it is to buy under the hammer, then you will definitely be more nervous than the vendor. And there will be others at the auction who feel exactly the same, which will add to the anxiety.

So how do you make sure you secure the house of your dreams for a fair price?

We will assume you have your finances sorted in advance.

Steven Glucina of LJ Hooker Ponsonby says if you’re a first-home buyer, it’s a good idea to find a competent mortgage broker, so you know exactly how much you can borrow.

It’s also helpful to have some ‘‘wiggle room’’. ‘‘This is where the bank of mum and dad or a fairy godmother comes into play for young people,’’ says Glucina.

‘‘We are seeing a lot more financial help from parents today.

‘‘It really helps to have a fighting fund, because you just might need that extra $5k or $10k to seal the deal.’’

Barfoot and Thompson auctioneer Marian

‘‘It’s important to let other buyers know you are serious. Make the bids in bold increments – if a bidder calls out $5000, make your next bid $10,000.’’ Steven Glucina

LJ Hooker Ponsonby

Tolich believes it’s important to establish that topdollar figure, one that you wouldn’t top with another $500.

‘‘Once the auction is over, if you have missed out, at least you will know you gave it your absolute best,’’ she says.

‘‘And don’t be deterred – believe me there is always another one.’’

The auctioneer says bidders are now more prepared for auctions than in the past, and have a strategy in place.

That includes the way they dress. ‘‘I had one unsuccessful bidder tell me that as soon as they saw the smartly dressed bidder they felt they would miss out. So I would say, always dress for success.’’

Be a participant, not an observer

If you want the house, you have to bid – sitting back and waiting to see what happens doesn’t work. You may even blow your chances completely.

‘‘You have to get the ball rolling and you should come back pretty quickly with your bids,’’ says Glucina. ‘‘Show some authority and don’t muck around. And make sure the agent knows you are interested – agents are your friends.’’

Tolich agrees. ‘‘If you sit back and wait, you won’t get into the groove and you will find yourselves thinking, ‘Shall we jump in now?’

Before you know it you are feeling left behind.

‘‘It’s important to let other buyers know you are serious.

‘‘You shouldn’t need to hesitate because you know your absolute limit.

‘‘And don’t have a conversation between bids because that shows weakness. Make the bids in bold increments – if a bidder calls out $5000, make your next bid $10,000.

‘‘Bidding from the start will also ensure the auctioneer is focused on you.

‘‘People have been overlooked when they have made late bids because they never came to the attention of the auctioneer – they left it too late to be noticed.