Start by doing your research. Attend a few local auctions as a spectator to understand how the process works and familiarise yourself with the language and pace. Look at recent sales of similar homes in your desired suburb and use this to determine fair value. Your mortgage broker can also provide property reports that help guide your expectations.

Before you raise your hand, speak to a mortgage broker and get your loan pre-approved. You’ll need to have a deposit ready (usually 10%) and understand exactly what you can afford to spend. This ensures you don’t bid above your means and gives you the confidence to act quickly when the bidding heats up.

Unlike private sales, auction purchases have no cooling-off period, so it’s crucial to do your due diligence before auction day. Arrange a building and pest inspection and have your solicitor review the contract. You need to know exactly what you’re buying and what your legal obligations will be.

Auctions are emotional environments, and it’s easy to get caught up in the excitement. Decide on your maximum bid ahead of time and don’t go over it. Walking away is better than committing to a loan you can’t comfortably repay or won’t get approved for.

Familiarise yourself with auction rules and terminology. Understand how vendor bids work, and clarify all sale terms before auction day. Your solicitor or conveyancer can walk you through the fine print to ensure there are no surprises.

Get to the auction at least 30 minutes early. This gives you time to register, ask final questions, and observe the crowd. It also helps you get comfortable with the setting and gives you an early read on the competition.

Confidence counts at auction. Consider making a strong opening bid to signal intent. Bid clearly and decisively to stay in control of the pace. Don’t be afraid to pause when needed, but avoid showing uncertainty, it can encourage other bidders.

Try bidding in unusual increments to throw off other bidders (e.g., $505,000 instead of $500,000). Respond quickly to keep momentum and show strength. If bidding slows, take your time, it might give you valuable insight into who’s nearing their limit.

If bidding goes beyond your budget, hold your ground. There will always be other opportunities. Sticking to your limit ensures you don’t overstretch financially and that peace of mind is worth more than winning any auction.

If you're the successful bidder, be prepared to sign contracts and pay the deposit immediately. There’s no backing out once the hammer falls, so ensure you’re fully committed and financially ready.