Bid

What is a bid? 

A bid is an offer or proposal made by a buyer to purchase an item like a property at a specified price. In an auction setting, participants place bids, and the highest bid at the end of the auction wins the item. The bid amount represents the maximum price a buyer is willing to pay for the asset.

How can I bid at an auction? 

To bid at an auction, you must first be registered with the auctioneer or authority in charge of the process to then be given a bidder’s number. Once you are ready to bid, you may raise your hand or bidding paddle to have your bid recognised by the auctioneer. If you’re lucky enough to win the auction, you'll typically need to pay a deposit and sign a contract immediately or shortly after the auction. 

How is an auction different from a sale by tender? 

An auction is a public event where buyers place competing bids to purchase a property, creating transparency and urgency, with the highest bidder securing the property. On the other hand, a sale by tender involves a private process where interested buyers submit sealed offers by a specified deadline. The seller then reviews all tenders and has the discretion to accept, reject, or negotiate with the chosen bidder.