Quick To-Do List for Buyers at Auction

OreillyTeam-HomeAuctionCircle2-Jan15Is the idea of bidding on a home or piece of land at an auction a mystery to you? Are you unsure of the process and whether it is in your best interest to participate? Planning to bid on a property at an auction for the first time can be a new and exciting experience, but also one that prompts many questions and concerns. We have compiled some quick to-dos for anyone considering buying at an auction for the first time.

After you find a property that you are interested in and want to bid on, you must complete a series of steps to prepare for the auction. While each situation will be unique, you will generally need to:

  • Arrange to see the property in person. The auctioneer will advertise scheduled viewing times or open houses for the property. In some circumstances, it may be possible to view the property by private appointment with your realtor or with the auctioneer.
  • Review all the information available about the property. Thoroughly read and review all of the information about the property, which will be found on the individual auction listing. This should include basic info like the auction date and time, as well as a description of the property and basic terms of the auction.
  • Schedule and perform an inspection, if desired. Because auction properties are sold, “as is,” financing is not contingent on a home inspection or an appraisal. However, before the auction day, most properties will have allotted times when an inspection or appraisal can be completed to inform your buying decision. Just keep in mind that any problems or concerns identified in the inspection would become your responsibility as the buyer.
  • Arrange your financing if needed. You may use bank financing, but will need to be pre-qualified by a lender for the amount you are able to afford to spend.
  • Review the terms of the auction to determine your deposit money or certified funds required on auction day. In many cases, you must have certified funds available on the day of the auction in order to be registered to bid. If you have the winning bid, you must also have your down payment funds ready to be deposited.

If you have questions, or would like to learn more about bidding on a property at an auction, contact the team at O’Reilly Auctions. Check our featured auction properties page for details on upcoming auctions.