The competition at real estate auctions can become quite intense and sometimes winning a bid can feel nearly impossible. However, if you equip yourself with the right tips and strategies of auction bidding, you're likely to win in most if not all the auctions you're eyeing. Below are some superior strategies on how to win in an auction that may come in handy for you in the next real estate auction.
Use a Stunner Bid
Using a stunner bid in a real estate property auction can help you eliminate your competition for a piece of property or at least eliminate a good percentage of your competition. A stunner bid is a price quote that's way above the quote the agent at the auction gives for the property.
To succeed in making an effective stunner quote, get to know the highest price buyers are expecting the property to fetch and then bid way above that price. For example, for real estate property being sold at half a million dollars, you may want to bid for the property at 650 million dollars.
Counter Bids Immediately
You should make a counter bid for every bid that is raised by a competitor, especially if you're among the remaining few competitors still bidding. Countering the other bidders' offers immediately sends a message to the bidders that you're not planning to quit.
However, if you become reluctant and take quite a while to counter a bid, your competitors may think that you're about to give up and they will keep on bidding with the hope that you will quit. Remember that maintaining confidence when bidding is likely to make the other bidders discouraged and make them give up early.
Understand the Market
Understanding the market of real estate property auctions is a sure way of increasing your chances of winning. Learning about the market involves understanding the do's and don'ts of a trade. For example, it's not advisable to get attached emotionally so much that your judgment in bidding for property is affected.
To gain an understanding that enables you to win in real estate auctions, attend several auctions regularly so as to practice and train how to trade. The exposure you will get from attending auctions, without necessarily buying or selling anything, will equip you with the right knowledge about the market and how things are done.
You can increase the number of wins at real estate property auctions provided you have the right skills at hand. The above mentioned tips can help you win big in property auctions.