Bid successfully at a home auction

1. Research the local market and inspect the property.
2. Arrange your finances. Ensure you have the finances ready to pay the deposit, which is usually 5% to 10% of the purchase price.
3. If you’re planning on bidding in advance, ask your agent for a copy of the sales contract.
4. Complete all necessary checks, such as title searches, and building and pest inspections.

We can provide approval for applicants in as little as 2-3 days, pending the customer's individual circumstances and all correct documentation has been provided. It's important to note that this is not a 'one size fits all' number, and the approval time will depend on each individual applicant's circumstances.

We'd always advise our customers to have the right documentation ready at application stage, so you can move forward with your application as quickly as possible. For more information on timeframes and documents required for your application:
What documents do I need to refinance my home loan?

At auction, if you're the highest bidder, you must sign the contract, and there's no cooling-off period. If you can't settle the agreed price of the home by the settlement date, you'll lose your deposit and be in breach of the contract.

There can be very serious legal consequences if you cannot settle the sale. We recommend you do either of the following before you bid at an auction:

• Got your finance pre-approved, including the maximum amount you can borrow. You can get a quick Auction Approval here.
• Ensured you have enough money available to pay the deposit using the method specified by the seller's agent (this is usually 10%).

The auction is led by an auctioneer, and you'll need to register with the auctioneer. They'll give you a bidder's number, and they will manage the bidding process.

The seller of the house usually has a reserve price which is the minimum price that they will sell the property for at auction. If the reserve price of the property has been reached, it is considered to be "on the market" and will be sold to the highest bidder. If the reserve is not reached, then the property is "passed in" or "withdrawn from auction" and the highest bidder has the right to negotiate with the seller.

After the bidding, the successful bidder is required to pay an immediate deposit, which is typically 5% to 10% of the purchase price. The sale is settled once the contract has been signed by both the buyer and the seller, and all relevant payments have been made.

An offset sub-account is linked to your home loan and helps reduce the interest you pay. Instead of earning interest like a regular savings account, the balance in your offset reduces the portion of your loan that accrues interest. This can help you pay off your loan faster and save on interest costs.

Key things to know:

• It's a sub-account of your loan, not a separate deposit account.
• Funds in the offset sub-account are not covered by the government deposit guarantee.
• The offset cannot exceed your home loan balance.

If you have any questions, our friendly team is here to help!

As an online lender, we operate without the overheads of a physical branch network or broker commissions. Our digital processes and innovative technology help us keep costs down. This allows us to pass those savings directly on to you through competitive home and car loan rates.