Buying in an auction

[somersoftfan]

This should have been covered earlier but I couldn't find a good link by searching the forum.

1) If you are buying in an auction should we set up Trust before going to the auction or can the name be changed after the auction?
2) If you are bidding over phone, how do you normally make the payment? Can we send the deposit by a cheque over post?

 

[Propertunity]

1) If you are buying in an auction should we set up Trust before going to the auction or can the name be changed after the auction?

If it is in NSW then the Trust must exist.
If you want to change the names or use "and or nominee" in NSW this will cost you double stamp duty.
Get legal and accounting advice

2) If you are bidding over phone,

Please tell me you are using a friend/ relative or buyers agent for this and not one of the selling agent's team?

how do you normally make the payment?

Pay into the agent's trust account before the auction OR get a freind / relative to write a personal cheque and refund them, or give your nominated bidder a bank cheque, or a personal cheque of yours that you've made out to the agent's trust account and signed - but leave them write in the amount.

Can we send the deposit by a cheque over post?

No, it must be paid on the fall of the hammer (or straight afterwards). If you arrange it beforehand, some agent will accept EFT transfer from your account to theirs - they've handed me an iPad to do it

 

[perthguy]

No, it must be paid on the fall of the hammer (or straight afterwards). If you arrange it beforehand, some agent will accept EFT transfer from your account to theirs - they've handed me an iPad to do it

I have done this at an auction in Victoria. I arranged with the agent beforehand and it all went well.

 

[Aaron_C]

Just arrange a TT of funds...you can't bank a cheque on a Saturday anyway.

 

[JenJen]

In Queensland you can ask for deposit payment terms to be included in the contract prior to auction. This can be in the form of an adjusted amount and timeframe. This is then made available to all potential buyers at the auction.

Cheers

Jen