Buyers agent for bidding at auctions on Gold Coast

Anybody have anyone they can recommend? I'm just looking at getting someone to bid on my behalf, none of the frills associated with using a buyers advocate like estimating the value, market DD etc. That's all been done and this particular property goes to auction when I won't be in town. I have a good friend in Melbourne I can get to come up, which I think I would prefer over using someone I don't know from a bar of soap.

I've called around a few and they charge in the range of $500 for this service. Aside from recommendations, If you have any experiences with this or would like to comment. I'm interested in your thoughts.

This auction is mortgagee in possession. My lawyer tells me I should use someone I implicitly trust, this sort of rules out buyer agents doesn't it? I can get my friend up here on flights with a rental car cheaper than $500, what would you do? The friend has never bid at auction but is more than qualified for the task.

Whomever goes on my behalf I will get to use a camera phone so I can see whats happening i guess.


Thoughts?

 

Use a BA- it's the best $500 you'll spend and as long as you've set your limit in writing beforehand I don't see why you wouldn't go down this path. It's peace of mind having a professional on side in these circumstances, surely. You also need to consider their skills in not only bidding (as they do it all the time) but negotiating after, should the property be passed in. A lot of buyers fall apart in this scenario, and can easily pay too much afterwards due to pressure by selling agents.

Also, have you organised the logistics for signing (POA etc) and deposit arrangements should you be the successful bidder on the day?

Try VFM on the GC and ask for Tony Coughran- great operator and BA.

 

Years ago I got my brother to bid for me at Auction in Melbourne when I was in Perth. I was on the phone to him during the Auction and instructed him on what to bid, which he did. I was the highest bidder. I accepted his recommendation for a property solicitor who is a personal friend of his. What followed was a nightmare with the property solicitor taking instructions from my brother instead of me. This meant the conveyancing documents were completed incorrectly and had to be redone, which cost additional fees, delayed settlement and consequently incurred penalty interest. We have been ‘distant’ since then.

I strongly suggest you pay the $500 to get a buyers agent. If you need recommendations, ask on the forum. I would try to find one that has a good word of mouth reputation. I don't think it is a good idea to get your friend involved.

 

Why wouldn't you trust someone who is licensed to act on your behalf exclusively, has PI insurance that you could claim on in a case of negligence, and does this kind of work on a weekly basis?

Wow. Your friend has zero experience, yet qualified for the task. Really?

 

Most QLD agents accept phone bidding, so unless you are totally freaked out, its worth doing it yourself for the experience.

 

Yep, just ask the agent if they can do phone bidding for you. I'm sure they'll have an aide that can be on the phone with you while the auction is on.

 

Also bear in mind that if you are going to authorise a member of the selling agency's staff to bid for you, with you on the other end of the phone, that they will often require a 10% deposit to be placed in their Trust Account before they will agree to the role. (in case you are the successful bidder).
It goes without saying, that I do not like this idea (but I know people do it).

 

It's also worth remembering as in Prop's post above, that the selling agency (regardless of who's bidding for you from the agency) has a legal and fiduciary responsibility to their vendor (who's paying them and the firm) to act in their best interests.... when you're using them to bid by phone do you really think they're going to be providing impartial advice/tips/bidding amount suggestions?
Just some food for thought....

 

We bought a house in QLD over the phone when we were in NSW, it was bizarre actually, because hubby and I weren't even in the same town, so it was a 3-way phone call

 

I have bought many properties via phone bidding in QLD and have been bidding at many more.

It's really nothing stressful or extraordinary and nowadays, there could be several phone bidders at many auctions. I actually prefer to phone bid than be there personally as it keeps me emotionally detached from the process but also on the front line of the sale.

There is also the opportunity to hone your auction skills and become immune to sales agent tactics as they try to get more money out of you. Just make sure you do your due diligence prior to the auction and know your limit and stick to it. If it becomes too much, just pull the phone away from your ear or simply hang up.

Considering I am doing a phone auction almost every weekend, my "strike rate" is around 1 in 15 auctions. Imagine paying $500 each time I want to bid? Its unrealistic and may even put some added pressure on you to purchase the property for a higher price knowing you are losing $500 each time.

With regards to transferring a deposit prior to auction - again I have also done this many times as its always banks that request this for mortgagees. I have never had any issues getting the deposit back and realistically, you are transferring money to a registered business and licensed REA with all the evidence in the world on your side if push comes to shove. Just get a receipt for the transfer before the auction if you are really nervous about it

 

Thanks for all the replies guys and girls! I really appreciate the opinions and advice

I wasnt aware I could phone bid, however without being able to read the crowd and having zero auction experience I think $500 might be worth it.

After some light reading I will begin shortlisting some local buyers agents for the task.

Some questions I might ask to do this are:

What's your bidding strategy?
How many auctions have you bid at before?
How long have you been working in the area?

I believe I can check any complaints against their business with ACCC or QLD fair trading, is this correct? Make sure they are not involved in any lawsuits etc...