9 tips for frustrated buyers on how to win at auction

Ray White national auctioneer John Bowring recommends clearly identifying yourself as an unconditional buyer before the auction. Vendors are strongly motivated by certainty, and unconditional offers carry significant weight. “People want the surety that they can move on with their lives. The power of the unconditional offer is high,” says Bowring.

Even if there are only one or two bidders, Bowring advises that you seize the opportunity to bid. Some buyers avoid auctions when competition is thin, but this can backfire as properties often attract multiple conditional offers after being passed in.

If a property doesn’t sell under the hammer, Bowring suggests asking whether the auctioneer is permitted to disclose the reserve price. While you may not like the figure, it opens the door to negotiation.

Harcourts auctioneer Aaron Davis stresses that conditional buyers should always show their hand to the vendor’s agent before the auction. If the auction is passed in, the agent will first contact those who expressed interest.

Davis also cautions against “playing games.” If everyone bidding has finance approved up to $1 million and the bidding stalls at $870,000, don’t creep in with $890,000 – go to $900,000 and show intent.

Ryan Harding of Barfoot & Thompson suggests setting a non-round bidding limit (e.g. $1.15m instead of $1.1m). This can give you an edge if other bidders drop out at round figures.

In today’s market, some buyers skip their homework and wait to negotiate after an auction is passed in. Ryan Harding says that’s a mistake. If you get your finances sorted and do your due diligence, you could be the only bidder in the room. Buying under the hammer often saves money – a home that sells for $1.4m at auction might go for $1.5m or more in later negotiations. Vendors will always take a close look at a cash unconditional offer.

James Burry of Ray White Royal Oak advises buyers to set two figures in advance: the price you’d love to pay, and the maximum you’d stretch to if pushed. Having a clear plan avoids hesitation on the auction floor.

Harcourts Grey Lynn GM Lauren Davies points out that auctions give buyers clarity. If you’re the only bidder, don’t stall or hold back – use the transparency of the process to have a direct conversation with the vendor. “You only control one thing, your number and your budget and what this house means to you,” she says.

Auctions can feel intimidating, but they remain one of the most transparent ways to buy property. With preparation, confidence, and advice from seasoned auctioneers and agents, you’ll know how to bid smartly and increase your chances of success.