Hi all,
Have an auction coming up for a property that I would really like to buy however the price range is listed as $290k+ and I was wondering in your opinions what would be the highest amount you should bid on such a property. I know the market will ultimately determines its vale but I was wondering what you all use as a good cut off point?
Call me crazy, but somehow I don’t think agents estimates are necesarily a true reflection. If you’ve done research, inspected other properties in the area, you will probably have a good idea of values. If the value is less than $290 then only bid up to the value. If you think the value is more bid more up to the value of the property or your limit whichever is the lower.
Good luck
Call me crazy, but somehow I don’t think agents estimates are necesarily a true reflection. If you’ve done research, inspected other properties in the area, you will probably have a good idea of values. If the value is less than $290 then only bid up to the value. If you think the value is more bid more up to the value of the property or your limit whichever is the lower.
Good luck
Hi blogs,
Generally, the vendors are trying to achieve 10% more than the listed price. In your case, the vendors are probably trying to achieve $320k. However, as crj mentioned, you need to do some local research to find out how much properties are selling for in the area.
Ofcourse, in an auction who knows what may happen. You may have a situation where two parties fall madly in love with the property and start a price war. I went to an auction for $420k+ property that sold for around $555k.
Hope this helps.
Sanjiv
*******“There is no passion to be found playing small – in settling for a life that is less than the one you are capable of living.†– Nelson Mandela
You sound like you have an emotional attachment to this house.
You need to set the max price you will go up to and be prepared to walk away if it doesn’t match if this is an investment property rather than the house you must have no matter what.Comments are of a general nature and may not be relevant to your individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
I wouldnt say I have an emotional attachment but I think if I can get it for the price I want then it will definately be worth it-Ive done my research and IMHO it will probably go for $330-340, maybe even 350, its hard to tell the general feeling but I suppose i just need to work out my cut off. The reason for asking was o.k if they generally expect 10% more then am I paying to much at anything over $320k. And why dont they just put $320+ on the ad, Im sick of seeing in the paper auctions listed as say $300+ and then reading passed in at $350…just wastes everyones time[angry2]
you can pay to have the property professionally valued (by a valuer) then you will be able to ascertaint the intrinsic value. Cost about $300.00. I have done this twice in an auction scenario and found it helped me to decide how much I would pay. First property I was highest bidder and it was passed in, second property I was bidding against a person possessed (ha ha) so I didn’t go higher than the value.
You must be logged in to reply to this topic. If you don't have an account, you can register here.
