Auction process in QLD

[eggnog]

There's a property being auctioned in QLD that I am interested in. Never bought an auctioned property before so want to know what i'm getting into before the big day.

As I understand it, as soon as the hammer falls the buyer has to pay a deposit. Is this correct? How much is this deposit and how do you go about paying it considering that the auction is on a Saturday?

Have also been surfing through some government websites and they say that if I am the highest bidder above the reserve I have to commit to the sale, ie: it is an automatically unconditional sale with no get out clauses. Have others who bought in Queensland found this to be the case? If so then what kind of things should I do beforehand to prepare for the auction? Titles searches? Should I engaged a solicitor to do all the conveyancing searches before hand instead of after contract signing which is the usual norm? Am I suppose to get all my finances sorted out beforehand?

Also, I would like to purchase this through a discretionary trust with corporate trusty. Is there anything I can do to change the name of purchaser post auction? What would the consequences be? Double stamp?

Would love to hear peoples experiences and advice on purchasing through an auction in Queensland.

 

[Scott No Mates]

WAIT!!! You're not ready for Qld let alone an auction.

All auctions (& within 24 hrs of the auction have no cooling off). You've bought it, unconditionally, warts & all.

If you're interested in buying at auction, attend a few beforehand. Engage a solicitor to review contracts and b&p. You need your finance sorted (at least pre-approved). 10% cheque on the day is generally required (possibly less but full amount on next business day).

 

[Kinnon Bell]

WAIT!!! You're not ready for Qld let alone an auction.

All auctions (& within 24 hrs of the auction have no cooling off). You've bought it, unconditionally, warts & all.

If you're interested in buying at auction, attend a few beforehand. Engage a solicitor to review contracts and b&p. You need your finance sorted (at least pre-approved). 10% cheque on the day is generally required (possibly less but full amount on next business day).

2 Days in QLD

"The cooling-off period also does not apply to a private treaty contract:
- entered into within 2 days of an unsuccessful auction of that property
- in which the buyer was a registered bidder at the auction."

But yes, what Scott says, win at auction and it's an unconditional sale so you will need to do all your DD before the auction.

I would advise engaging a solicitor to go through the contract and do the relevant searches and making sure you have your finances sorted before bidding.

I have managed in the past to negotiate a finance clause into the contract if I were to win at auction.

 

[jerrybee]

Titles searches?

I'm no expert in auctions but I assume this is one of the few exceptions? If it turns out it wasn't even the sellers house to sell I'm sure that you're legally allowed to make like a tree and break out of the contract?

 

[cu@thetop]

Not if they have included a transfer by direction clause in the special conditions or a clause subject to the title being transferred into the seller's name prior to settlement (executors in a deceased estate sale for example.)