©Royce Hansman

Seven rules for buying at auction

This is an article from the blog of Neil Jenman, who is an advocate for ethics in real estate. No that is not an oxymoron! There are real estate agents who have ethics and work with their clients with honesty and respect, including the team here at Harrods Real Estate. While we are not a Jenman approved selling agent, we believe there is no other way to conduct business and carry ourselves accordingly. But buyers will need to educated themselves with how most real estate agents conduct their businesses, it really is a case of buyer beware! Read on…

If you don’t know the tricks used at auctions, you are certain to get hurt. Most auction agents have no regard for your feelings. They want a sale and they don’t care who they hurt.

If you are inexperienced at home buying, you should avoid auctions altogether. The financial loss of a few hundred dollars on wasted inspections is bad enough, but it is nothing compared to the emotional damage of discovering that the home you love was never in your price range.

If you want to take the risk, here are seven rules to protect yourself and minimise the damage.

Rule 1. Believe nothing and check everything
Rule 2. Understand the ‘quoting’ lies
Rule 3. Tell the agent nothing of importance
Rule 4. Know the true value
Rule 5. Get legal advice
Rule 6. Do not bid too soon
Rule 7. Keep your highest price a secret

Want to see more? Read the whole excerpt from the book Real Estate Mistakes here.

©Neil Jenman from the Buyers section of his website Ethics In Real Estate.