Interesting auction at the weekend

[Jonathon]

So I'm at an auction on Saturday, a 960m development block in Thornbury, eventually went for just over $1.2m.

There are three bidders.

The eventual purchaser is standing beside me. (The wife of the builder who was meekily standing next to her, it's clear who wears the trousers in that family, but that's a different matter!)

Underbidder #1 is clearly a local as he knows half the neighbours there. At times he put in the bids himself, but at times he instructed one of the auctioneer's colleagues to put in bids for him. He always increased the bid by $500 or $1,000, but at times he'd walk up to the auctioneer's colleague and quietly give him a figure, say another $10k, so that REA would bid in those small increments before getting further instruction from the underbidder. There was no annoncement whatsoever that the REA was acting on instruction for the bidder.

Underbidder #2 is on the phone, with one of the auctioneer's colleagues taking instruciton. Apparently he hurt his leg and couldn't attend the auction. This was announced in advance by the auctioneer.

Now just to be clear, both of these REAs helping the two underbidders were staff from the auctioneer's office, they weren't normal buyers agents.

So, if you were a bidder at such an auction, would you be bothered by the fact that two of the auctioneer's colleagues are bidding on behalf of bidders? I certainly would find it unusual.

 

[Propertunity]

Now just to be clear, both of these REAs helping the two underbidders were staff from the auctioneer's office, they weren't normal buyers agents.

So, if you were a bidder at such an auction, would you be bothered by the fact that two of the auctioneer's colleagues are bidding on behalf of bidders? I certainly would find it unusual.

Jonathan, I don't find this kind of behaviour 'unusual' at all - I see it at virtually every auction I attend.

What I do find perplexing is why any intending purchaser in their right mind would authorize an employee of the selling agent (i.e. an agent) to bid at auction on their behalf.

Surely you'd engage someone like a buyers agent or a trusted relative or friend to bid on your behalf if you could not attend an auction in person?

 

[Jonathon]

Jonathan, I don't find this kind of behaviour 'unusual' at all - I see it at virtually every auction I attend.

It's definitely unusual in Melbourne, I've never seen it in the hundreds of Melbourne auctions I've been to.

Surely you'd engage someone like a buyers agent or a trusted relative or friend to bid on your behalf if you could not attend an auction in person?

Absolutely agree.