Cont...
AUCTION PROCESSNow let us go through the auction process...
A) Register your name and pay 5-10% deposit
First thing you have to do once arrive at the auction place...it may at auctioneer office, court room, hotels, banquet hall or even PWTC.. Original IC and Bank draft.. Two main things. No money no bidding.
B) Find Your Seat
Step right up and walk straight to the front of the room..and Ignore all other parties. If a property is good, normally there will be a group of people who are working together - quietly known as syndicate- to win the deals for for themselves. They have been known to distract and even sabotage other bidders. So ignore them so they could not distract you.
C) Start Bidding
At the earlier, the auctioneer will state the conditions of sale, i.e rules, reserved price, who are the bidders, amount for price increase and procedures involved before the the auction begins.
D) Stop Bidding when the price goes beyond your budget
As I've mentioned in my earlier post on auction..set your ceiling price and be discipline. If it goes beyond your budget just stop bidding and let the property go. There are a plenty or even thousand of others.. Dont get emotionally touch by the property. You are not here to be sentimental. You are in the money making process. Purely on business.
E) If you win Sign the Sales Contract and pay the balance of the deposit
Once the hammer hits the woood, you are the legal winner of the auction and pls.. you are not allowed to change your mind k..
Step up/out sign the Memorandum at the bottom of the Proclamation of Sale (POS) and balance the deposit as mentioned/paid earlier. Congratulations the property is yours!
THE AFTERMATHIf it is your 1st time of winning an auction, you'd probably be in a cloud nine..dont know what to do...
A) Loan Application
Quickly submit your loan application form to the banks so they can process it a.s.a.p. You only have 90 days to settle the balance of the monies, failing which you will lose both the property and the 10% deposit.
B) Settle the outstanding bills
Chances are 99.9% that the previous owner did not settle the quit rent, assessment tax and utility bills. So you need to go to the relevant offices and get the statement and pay the bills. Good news that you can claim the annual rent and assessement tax from the Seller (court, banks, financial institution..n etc.)
C) Make Repairs
You need to make repairs to the property.. Now this a bit tricky... As mentioned earlier, you are not the legal owner of the property yet untill you settle all the monies. Which means that you cannot enter the property even though it may be empty. But as time is of importance where money is concerned, I've heard stories from my friends about how buyer went in and made the repairs anyway even though he has not settle the full payment.
"But that's not quite right."
"I know." my friends would smile and say.."But who's gonna tell?"
Well I have to admit that they had a point there.
