Professionals Real Estate 
Attending an auction for the first time can be a little nerve wracking and intimidating and certainly exciting. Here are a few tips to help you handle your first experience at an Auction.
This event is full of emotions. The excitement of placing a bid, and the satisfaction of being the successful bidder, or the disappointment of not winning the bid are some of the emotions you will be dealing with.
Like anything these auctions come with their own form of language and it is important that you understand the applicable terminology.
Rising and bidding advances:
Do be aware that there are auction rules in place, but also each auction is unique. The auctioneer has the task to encourage as many bids as possible and to get the highest price possible for the bid. The auctioneer can determine what increments the increase in bids must be and these are called rises or bidding advances.
You can start your bid at any amount you want, and the bid can be accepted or rejected.
Successful bidding tips:
Bid with confidence. You need to feel secure in what you are bidding. Don’t be afraid to ask questions such as who the other bidders are, and when the property will be on the market.
Know before you even start to bid what your limit is and don’t deviate from this.
The auctioneer is in control and has the authority to stop the bidding at any time. He may decide to do this if there isn’t much bidding action going on. Or it may be that interested parties are going inside to obtain more information from the seller.
Vendors bid:
If during the course of the bidding the vendor is not satisfied with the bids being placed, he can place a vendor’s bid through the auctioneer. The auctioneer must stipulate what this bid is. If the bidding is getting close to the vendor’s agreed upon price, then the auctioneer will determine along with the vendor that they will sell at the highest bid. Upon agreement the auctioneer will announce that the property is now on the market. Ultimately the property will go to the highest bidder.
Passed In:
The auctioneer will continue until the bids have reached the vendor’s reserve. If this doesn’t happen then the property will likely become passed in. This means the individual who placed the highest bid can now negotiate with the vendor with the hopes of closing the sale.
Auctions vs private sales:
It is important to recognize the differences between buying a house through an auction and a private sale. An auction purchase means that you don’t have any time to change your mind and there is no room for setting conditions on the purchase. For example, if you want a home inspection the purchase cannot be dependent on this with the auction purchase. You would have had to arrange for this prior to the auction.
In a private sale you could make this a condition of the purchase, or make it subject to any other conditions. You also have the cooling-off period of three days following the contract unless it happens to be within three days prior to or after a public auction.
