5 days to auction and I'm feeling rather ill

[bbmick]

I get nervous when my missus does the bidding, she scares the crap out of me sometimes - not sure she knows when to stop.

Last auction/s I went to was a 3 x commission house sale on the same day, one after the other. I purchased the first one, got outbid on the second, and won the third one with bugger all opposition. I think the locals were a bit pissed at the time - by the time we got to the last one, they all knew I was a serious biddder and were scared off.

During the second auction, the auctioneer claimed he was taking bids from the tree on the nature strip - but it was really me trying to hide from all the attention.

Ended up being a good day for me........you'll be right on the day, just sit out back and wait till you really have to get involved.

 

[MIW]

The couple of websites I went to were based on percentage (even just for auction bidding). I did find one that charged $250 but their prices page referenced 2009 so I assumed they no longer existed.

Good luck RedCat and remember another deal comes along every week....

 

[RedCat]

Well it turns out the market is still good in Richmond if it's the right property. This one was advertised for $800+ and I thought it was worth $900K.

Aaron C was kind enough to come along and bid on my behalf as I was emotionally attached to it. Can't remember the opening bid but I think it was as low as $700 is that right Aaron? it was between 2 other bidders until it reached $900 and still wasn't on the market. Aaron might remember better than I at what point it was actually put on the market.

It was between Aaron (or me rather) and the original bidder from $900k onwards in $2500 increases. At $905 Aaron tried a knock out bid at $915K but the other buyer wasn't letting go.

I had pre approval for $950K, but my reserve was $918K and we stuck to it. The property sold to the other party at $919K. We were up against a young couple getting support from his Dad I think and they really wanted it. Although it was tight for them, I think if I'd kept bidding it would have taken $930 or $940 to secure it and then I would maybe have felt I paid too much.

I'm really disappointed that I didn't get it but I'm proud I stuck to my reserve and I do think I know the Richmond market reasonably well. Something else will come up another time and luckily I'm in no rush.

Aaron. Thanks again for being a pillar of strength on this one. I'm grateful for your help and support.

 

[RedCat]

And this is weird... I ran into a friend at the auction. Turns out he had been considering the same property but changed his mind days before and decided to go for one in Abbotsford instead so it's a good thing I wasn't bidding against him! He just called me and told me he just bought at that auction an hour later.

 

[Aaron_C]

Hi RedCat,

Yes the auctioneer asked for an opening bid of 700k and got it, all the way in 10k increments to ~$890k. That's when I stepped in and tried to knock out the eventual buyer. But to no avail unfortunately...I think that guy would have probably paid even more than $940,000 to secure the place!

 

[RedCat]

Yep. They were definitely in love with the place and I think it would have gone that high too if we had stayed in the race. Goes to show that a property with charm and character will be desired no matter what the market sentiment is.

 

[Propertunity]

I'm really disappointed that I didn't get it but I'm proud I stuck to my reserve ...

Well you're in good company today RedCat. I also bid at auction this morning in Rozelle and stopped at $980K. It was sold to the only other bidders for $982K and I could tell they had nowhere near reached their limit yet!

The winners were a bit more emotional about buying the place than I was. The wife was heavily pregnant and the agent told me they had sold their home some months ago and were living with the in-laws. Can't compete with that kind of motivation.

 

[MIW]

Buying, negotiating is a process too....

Yep. They were definitely in love with the place and I think it would have gone that high too if we had stayed in the race. Goes to show that a property with charm and character will be desired no matter what the market sentiment is.

Right on, we get some we loose some, but we keep on persisting and learning and eventually we get it too. Good luck next time and keep searching for a new one....
If I truly want a place I would make an offer before hand and see if the agent is interested (sometimes it works, not always). I also ask questions prior, like how many contracts were given out, what's the interest like, why are they selling, what are their asking price...
To give you an example, an older lady was moving to a nursing home, had to sell, the asking price was around $800k, no contracts out yet. Some agents are willing to supply that information, but you must be early and you must act prior. The place was sold prior to action....
Just know your market and price and that way you may feel more confident in your price....
Other times I come prepared with my worksheet that I fill in during inspection (eg, address, agent details, property details, each room details [power points, air cond., screens, carpet/tiles/floor, light fittings, etc..]). Agents may then take you a little bit more seriously, as they think you are genuinely looking to buy. They don't like to deal with people that waste their time, so there are ways.
Ask them to put you in their database (they may have 2 databases, 1 for investors). Try to learn and apply those techniques, even buying is a certain process and good luck.

 

[Aaron_C]

Yes that was the property Staring, but this is typical Biggin & Scott advertising, so I'm not surprised about the way the campaign was run. Unfortunately RedCat missed out because there was someone who wanted it more.

I've bought from them before when they quoted $4m+, but the reserve was $5m! Depends on your luck on the day...

 

[RedCat]

Oh I think I wanted the property as much as the other couple. I just wasn't willing to pay over the odds for it. Character and charm are subjective, but to me, this was the most charming Victorian I'd seen in the area and I was buying for personal use. Something will come up, or not. My work situation has changed dramatically this week, which may mean I decide to invest elsewhere and continue renting my office instead. Funny how things work out.

 

[buzzlightyear]

Was that faux grass at the back?

 

[buzzlightyear]

Richmond is great but don't go near Leslie St. Trust me - I live in Richmond. I'm investing in Richmond also but not too close to Victoria Street. Seriously keep away from Victoria St. As a previous poster said - that's the crap part of Richmond. Don't do it. Try to stay south of Highett St.

So has time changed your mind about purchasing north of Highett Street?

 

[RedCat]

Hah! I'm still weary of north of Highett St, but walked up there when it was dark and it didn't give me the "Victoria Streets".

 

[shuggy]

But the heroin's good quality around that area.

 

[RedCat]

I work in Collingwood and it's way worse there than in Richmond. I've seen one needle in 4 years here. In Collingwood the gardener has to wear gloves in case he stabs himself while weeding. And as for Smith St...

 

[shuggy]

Yes you're right, it's definitely easier to score in Collingwood especially Smith St where you can get free needles from the exchange. I miss Melbourne, yeah seriously, not taking the micky either.

 

[RedCat]

The needle exchange has gone now. Hence all the needles in our front garden probably.

 

[Jaggannath]

People are such @rseholes, I wish they'd show some common courtesy... if you're going to put that $hit in yourself at least don't risk other people's health