By Tim McKibbin, REINSW CEO

Auctions can be daunting.

So it may be worth making a pre-auction offer to avoid the melee of auction day.

If you have done your market research, there are many advantages to making a pre-auction offer. You may knock out the competition and secure the property sooner. You are more inclined to stick to your budget and can negotiate a more flexible sales contract.

Another benefit to placing a pre-auction offer is the five-day cooling off period.

Unfortunately, if your offer is rejected, you run the risk of setting a benchmark for the auction.

You can ask the selling agent to advise you if the vendor is considering a pre-auction offer. Depending on the agents’ instructions, this conversation may be of value when making your pre-auction offer.