When it comes to buying an auction property there are many ways in which to both succeed and fail to achieve your outcome. The process of buying at auction is quite straight-forward but auction houses do differ in their approach at times and so you must ensure that your are totally aware of the rules and regulations for the auction you are bidding in.
There is however one common feature of all property auctions - you get 3 bites at the cherry.
Before the auction takes place, you must go and view any property you are thinking of buying. If the area is new to you, you should walk around and feel what the neighbourhood is like. Every property is different and even if you have bought on that street before, you should be aware of each property's nature and characteristics. If you still wish to learn more, take a look at the legal pack and make an informed decision based on the facts and how you feel.
If you really like the property and sense that there is a deal to be had, then bite 1 means you should get your offer in early. Negotiate with the vendor if possible or via the agent. However, you do it, ensure that you follow the rules.
For example, auction houses will take offers as bids a few days before the auction. This means that you may think you've put in an offer, when it is actually a bid. In other words you've missed the time frame for bite 1.
This is the normal bite. You are in the room and you are bidding.
The only advice I would give here is to make sure you have fixed your budget and you are disciplined enough to stick within it. Do not go £1 over the figure you have determined is your budget. Stay calm and relaxed and remember you are not in a competition with other investors, you are simply there to get what you want... no more, no less
This is, you will have guessed, the period after the bidding when the property has not reached the reserve price and so it is still available. The auction house may still have the property up under auction conditions so make sure you are ready to pay your deposit if you make an offer and it is accepted after the auctioneer has moved on.
There is no right or wrong time at which to buy an auction property. Each deal must be assessed on its individual merits and I cannot stress how important it is to understand the rules of the auction before you engage in any negotiation, whether it be at bite 1, 2 or 3.
Just remember, it isn't over until it's over