Auctions are held either on-site or in-room. It is essential that you have read and understand the conditions of sale by public auction and that your finances are in order.
If you have any doubts as to the auction process or contract conditions it is recommended that prior to auction that your solicitor review all documentation..
If your bid is successful, you are required to pay the deposit and sign the contracts immediately.
The method of and amount of deposit payment varies for each property - consult with your PRDnationwide agent beforehand. Each State is different, so consult your agent, but there is generally no cooling off period, you are now committed to buy.
If the bidding does not reach the reserve price, the house is not sold, and is termed "Passed In". The property is now available for negotiation by any interested party.
By law, all deposit monies must be banked into an official trust account on the next day they are received or by no later than the next business working day.
Real Estate agents do not receive any interest or benefits whatsoever from holding deposits on behalf of the seller.
When is the Property Yours?
It is important for buyers to recognize that the legal process governing what happens after an offer has been accepted varies between States. It can be a lengthy process.
The property does not become yours when you hand over the holding deposit. It is not until both parties have signed the contract and it becomes unconditional and binding that it is time to celebrate.
Importantly, successful bidders are required to ensure that the property has insurance coverage from 5pm the next business day after the contract date (Qld).
PRDnationwide real estate agents are professionals and will keep in touch throughout the legal process to advise you of any developments.