Your Guide to Winning a Property Auction
Bidding on property during an auction isn’t something you should do on a whim. Walking into an auction with a clear plan will help you get ahead of the competition in the room. This is your guide to winning a property auction.
Get Your Finances Ready
This may seem obvious at first glance since you need money to purchase property. The important thing to highlight here is that you should have your funds ready on the day of the auction. Avoid coming to the auction with the idea that you will move some money around next month to pay for the property.
If you don’t have your finances ready, you may win the auction at first, but you will ultimately lose the property. Making a bid is easy, but backing that bid up requires you to have sufficient funds. Don’t worry; establishing your bidding budget and preparing your funds ensures you can go home a winner if you outbid the other buyers.
Choose Your Bids Carefully
Just because you have the funds to make a bid on a property you want doesn’t mean you should keep outbidding the other buyers. Choose each bid carefully. As mentioned above, only bid what you can actually pay. Another key detail is timing. This doesn’t mean you should wait until the last moment to bid. You can make your bid early to make yourself known to your opponents as you try to outbid each other.
After that initial bid, observe details such as the speed of the auctioneer and the willingness of other buyers to make large, quick bids on the property. This will help you update your timing to suit that specific auction, ensuring you can make good bids before time runs out.
Make Your Presence Known
Your guide to winning a property auction must also include making yourself known to other bidders. Achieving the highest bid requires more than outbidding your opponents. Make your presence known as someone who is focused on what they want and determined to get it. Dress professionally and sit near the front of the room so everyone sees when you raise your hand. Of course, a nice suit isn’t an instant win at the auction, but it will help you get into the heads of other bidders. That way, the other bidders know what they’re up against when competing against you for a property.
Luckily, with the right tactics, you can navigate that competition with ease. You can also go directly to a property seller before they even consider an auction. At Midwest Land Management, we hold many auctions, and we also have commercial real estate in Iowa for sale now. Whether you’re looking to make a bid against other buyers or speak to a property seller directly, you can put together the best strategy for your needs now.