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AUCTION JARGON

With auction clearance rates being debated as on the rise, the “real truth” is lower numbers being auctioned with agents using “sold prior” as proof of a nervous market still…………….

AUCTIONEER SETS AMOUNT

His way to get the momentum rolling and trying to raise the price quickly by having a higher start figure other than the buyers starting lower.

VENDOR’S BID

Auctioneer will place this bid to bring the buyer/buyers up to the vendors sell price  (reserve) normally only gives 3 vendor bids but can do as many as they like. Too many indicates that the difference between current bidding and reserve are far away.

RESERVE

The price at which the vendor has decided to sell the home. Once declared, the vendor will sell at that price or even $1 over. No going back.

PAUSE-HALF TIME

When bids have failed to reach the reserve the auctioneer will go inside to speak with the vendor to give indication whether things have slowed and ask them lower their expectations, to sell under the hammer, or….

PASS IN

The vendor has a sell price and the auctioneer will pass it in and hopefully, to a bidder (holding the last bid) who has the “exclusive right” to negotiate the price. Should the bidder not do so, it then it’s open to all other parties to negotiate, should they wish to do so. If it is not sold, it “may” get reported as “passed in” and then sometimes continues on the market as a private sale.

AUCTION CONDITIONS

The reason the auction campaign is normally chosen, as it gives the vendor the opportunity of having a sale in 28 days and the purchaser will have no options to add subject to a building inspection, subject to finance or any other terms on the day. Any building inspections etc should’ve been carried out prior or any “special arrangements” made with the vendor before the auction.

CLASSIC QUOTES TO BIDDERS

“ He’s holding the keys and your holding the brochure”

Is it on the market? Sir It’s been on the market for the last 28 days!

“Don’t look in the mirror driving away and say I could’ve gone $1000 more”

“Give me another $5K.. divide that by 25 years repayments.. A stamp a day will cost more!”

“How about a $10k bid?” That’s less than 5 coffee’s a week for 10 years.

CLASSIC PREAMBLE QUOTES

• Don’t hesitate, participate
• I like it and so should you
• You’ve liked it when you saw it the first time
• This is where it turns into pure fun,it’s on the market
• I’m your financial adviser
• Water’s warm come on in
• This home is as handy as a pocket on your shirt
• You’ll wish you did later and it’s too late then
• It takes two to tango
• Pretty good for that kinda money
• Ask and you shall receive
• Deal of the day
• Money will do you no good where you’re going, you’d better spend it here today
• Don’t stop to think now! We left common sense behind a long time ago