Can you put an offer in before an auction?

When buying real estate, yes, it is possible to make an offer on a property before an auction takes place.

Here are some key points to keep in mind regarding making an offer prior to an auction:

1. Timing: A vendor may be prepared to cancel the auction if they receive an offer they are satisfied with. It's important to submit your offer before the auction date and within a timeframe specified by the vendor or their real estate agent.
2. Negotiation: The vendor may accept your offer outright, reject it, or initiate negotiations to reach an agreement. They may also choose to continue with the auction process and not consider any pre-auction offers. The negotiation process can involve counteroffers and back-and-forth discussions to reach mutually agreeable terms.
3. Legal advice: If your offer is accepted prior to the auction, there are some important steps to follow: ensure you receive legal advice regarding the contract and have the relevant terms and conditions of the contract explained to you; arrange any pre purchase inspection reports of the property and ensure those results are satisfactory to you, such as a pest and building report or a strata inspection report, and, if you require a loan from a financial institution, ensure the loan is formally and unconditionally approved.

It's important to note that the process of making an offer prior to an auction can vary depending on the real estate agents practices and the specific circumstances of the property. It's recommended to seek advice from a qualified conveyancer or property lawyer who can guide you through the process and help ensure that your offer is presented appropriately.

Found your dream home and it’s being sold at auction? At Kells, our highly experienced conveyancing lawyers can provide invaluable advice and assist you through the steps involved in buying your property.

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