A lot of the same Principles apply when bidding online as they do when bidding on location with some important differences.


Ask the auction company to supply you with information, over the telephone or email concerning specific properties as well as the online auction process itself.

Find out as much as you can about the property. Check first online. This is an online auction the auction company will try and put as much information online as possible. Call if you still have questions or can't find something.

Take full advantage of any inspections conducted by the auction company or schedule a private site viewing. This will allow you or your representative to see what you are bidding on and help determine value and desirability allowing you to bid with confidence.

This increases your comfort level by knowing your mortgage qualifications. This is especially important in today's economic environment. Even before you decide on a property to buy, you should prequalify yourself through your banker. There is generally never a mortgage contingency in a real estate auction. It is best to know you can pay for the property before you bid.

Similar to the on location auction. Check to see if the auction company is running another online auction you can participate in. Get signed up and registered for that event and attend and observe one or more auctions online and familiarize yourself with the process before you bid. The online auction process can be confusing at first, so knowing what to expect is important, when your time comes to buy.

A lot of online auction companies work in a very similar manner to EBay - even if selling multimillion dollar homes. The important part is finding out how they are DIFFERENT.

Determine your bid limit after examination of the property and all available information. Don’t be afraid to bid early. Most other bidders will be willing to pay just as much as you. The one who bids the number first, wins that day.

Most online auction companies require some sort of registration process before you're allowed to bid. Some require identity verification by some method. Find out what this is. Call and make sure you're comfortable with the amount of information you're providing and what the auction company will be using this information for. Remember: Due to the anonymous nature of the internet they are just as wary of you as you are of them. Seek advice and ask questions from other people or brokers who have participated in an online auction and get information about this Auction company.

Upon completion of registration you will generally receive a bid number, terms of the sale, and other important auction day information (again check the auction company for exact details).

If you are the successful high bidder at an online auction, you will be normally be required to affirm your bid with a digital signature or email reply and some sort of deposit. Check with the auction company for exact details on what type of money deposits are allowed and accepted (Generally a certified or bank check are required) and how to get that money to the company since it was an online auction.