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Sold price on realestate.com.au not the same as winning bid

Discussion in 'The Buying & Selling Process' started by A.Lee, 29th Apr, 2016.

  1. A.Lee

    A.Lee Member

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  2. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    Human error, or intent. :)
     
  3. markson

    markson Well-Known Member

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    Wow that is a big difference.
     
  4. York

    York Finance Broker Business Member

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    Are you certain it was a winning bid or the final bid? The 590k may have been under reserve and therefore passed in. Then that bidder may have increased the offer after the auction which the vendor accepted at 623.5k.
     
  5. A.Lee

    A.Lee Member

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    I am pretty sure it is the winning bid. But just to be sure, let me elaborate.

    Bidding starts at $520k and reached $590k. After failing to convince further bids, the the auctioneer announced “going once, twice, three times…”. What I failed to hear is a loud "Sold". Did that missing "Sold" make it a final bid and not a winning bid?

    The property was quoted $520k - $570k in the realestate.com.au site before the auction day.
     
  6. Azazel

    Azazel Well-Known Member

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    It's a bit odd, but not the wackiest thing I've seen on real estate sites.
     
  7. Marg4000

    Marg4000 Well-Known Member

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    At any time did the auctioneer say that the property was "on the market"? If not, the final bid was probably below the reserve, though usually the auctioneer makes that clear.
    Marg
     
  8. D.T.

    D.T. Adelaide Property Manager Business Member

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    Maybe there's different terminology there but I think you mean held over rather than passed in. This would allow negotiation and eventually sales contract, with the highest bidder.
     
  9. Joynz

    Joynz Well-Known Member

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    In Victoria, failing to reach the reserve and not being sold would be called 'passed in' and would then be open to negotiation to the highest bidder.

    It would normally be pretty obvious that the property has been passed in as the auctioneer makes an announcement.
     
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  10. York

    York Finance Broker Business Member

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    You could be right David. It could be a state by state difference. My understanding is that held over is when the auction is suspended and the highest bidder has the opportunity to negotiate with the vendor to meet reserve. If the reserve is still not met, the auction can continue.
    If the auctioneer announces that it's passed in, the auction is over but the highest bidder can still negotiate with the vendor to reach an agreement.
     
  11. D.T.

    D.T. Adelaide Property Manager Business Member

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    Held over - can negotiate 1:1 but still buying on auction terms / conditions
    Passed in - property reverts to normal sale
     
  12. York

    York Finance Broker Business Member

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    Yep. I agree with that. :)
     
  13. SmashedEconomy

    SmashedEconomy Active Member

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    IF you didnt hear sold, it was a final bid. the higher price was negotaiated after the auction.

    going, once, going twice, ........ **crickets** Another one of the many ruses in a RE salespersons arsenal of tricks.
     
  14. Noobert

    Noobert Active Member

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    I bid on a house a month and a bit ago (not an auction) which I didnt get. I bugged the agent for over a week on what price the winning bid was, and after it went unconditional got told it went for 446k. Now a few weeks later it's up on realestate as sold for 545k???

    Is it possible whoever won it sold it off again somehow for profit? The sold price as on realestate is over the top for the condition the house was in but not widly a ridiculous price.

    Mysterious..
     
  15. Perthguy

    Perthguy Well-Known Member

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    My agent conducting an Auction in Victoria, during the Auction said, and I quote, "then I will pass the property in". We then negotiated with the highest bidder and made a deal within a few minutes of the auction ending and sold on auction terms / conditions. At no point did the agent mention 'held over', it was definitely 'passing the property in'. Now, I am not saying the agent is right and you are wrong. The agent was reasonably unprofessional, so could have very well been in the wrong. Just relaying what he said on the day at an actual auction.
     
  16. D.T.

    D.T. Adelaide Property Manager Business Member

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    May just be Vic vs SA terminology
     
  17. technoir

    technoir New Member

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    This is a bit like the pot/middy/schooner interstate terminology debacle!

    Passed in is definitely the terminology used in Victoria, where the highest bidder has first negotiation rights and the sale is still under auction conditions. From the Victorian "Sale of Land (Public Auctions) Regulations 2014":
    If a reserve price has been set for the property and the property is passed in below that reserve price, the vendor will first negotiate with the highest bidder for the purchase of the property.