Frequently Asked Questions
What is property auction?
Property auction is done through an open and competitive bidding by interested public who are keen to purchase a property either for own use or as an investment.
Who normally conducts the auction?
A licensed auctioneer is appointed to conduct the auction, either by the banks or the relevant authorities, e.g. High Courts and Land Offices.
How do I know if the property is up for auction?
Through our website: www.auctionnetwork.my At or surrounding the subject property Newspapers, normally the English or Malay daily.
Where and when will the auction be held?
At the appointed auctioneer¡¯s office Land Office High Court Property Auction Fair organized by the respective banks.
Can I inspect the property before the auction?
As most of the auction properties are on an ¡°as-is¡± basis, it is therefore not possible to view the property. However, a potential buyer can sometimes view the property under special arrangements. Generally, the property is not open to inspection prior to the sale. You can only view the property from the outside.
What are the standard procedures to acquire an auction property?
Just call us, we have specially trained personnel to guide you step-by-step, or join us as a member. We will guide you to go through the whole auction process, especially the Do¡¯s and Don¡¯ts on public auction, so that you can acquire any interested auction property in the safest manner.
Tips on how to acquire a property at a public auction
Generally most people thought that buying an auction property will be the cheapest and easiest way. However anyone may end up stressful and lose money if you are not clear about the procedures in bidding the auction property.
Identify the Subject Property
Potential bidder should identify the property that suits their requirements such as the price, the location and the type of property they are interested in.
Get complete details of the Subject Property.
Potential bidder should get the detailed information from the licensed auctioneer; this can be done by looking through our website. You must also check out the outstanding bills (electricity, water, quit rent, assessment and maintenance charges etc.) and any other legal encumbrances involved. Are you buying the subject property free from encumbrances?
Survey the Subject Property
Take a drive to the subject property first to check whether the location is good for you, who the surrounding neighborhood and check with the licensed auctioneers whether you can get in to inspect the property.
Potential bidder should check with his bank on his eligibility to obtain a loan and the amount he qualifies.
Register as a bidder
Potential bidder should register as a bidder with us 3 days before the auction day and we shall give you our advice on steps to buy a property at the auction. Prepare a bank draft Potential bidder should get a bank draft, banker¡¯s cheque or money order for a sum amounting to 10% of the reserve price to the property which he intends to bid for.
Documents to bring during the auction day
All potential bidders are advised to go to the auction venue at least 45 minutes before the auction starts and make sure you bring all the necessary documents with you on the auction day:
a) A photocopy of the bidder's NRIC card (both sides)
b) Bank draft of 10% of the reserve price
c) Extra cash (to make up the balance of the first 10% of the final bidding price)
a) A certified true copy of the company's Memorandum and Articles of Association
b) Bank draft of 10% of the reserve price and extra cash
c) Form 44, 24 49 d) Board of directors resolution
Agent / Representative
a) Letter of authority from the intending bidder
b) A photocopy of bidder¡¯s NRIC card (both sides)
c) Bank draft of 10% of the reserve price and extra cash
Registered bidders will be given a card and an allotted number which will identify him as a bidder. If it is held in high courts or land offices, the officers or auctioneer will call out their names before the auction starts.
The auctioneer shall start the auction by announcing the specific property including the details of the property and its reserve price. Bidder can raise his hand and call out his bid any number of times he wishes until he is the highest bidder and secures the bid.
a) Successful bidder is required to pay the balance of the 10% of the reserve price immediately to the auctioneer.
b) Successful bidder will also be attended by a solicitor to execute the Proclamation of Sale to formalize the purchase of the property.
c) The balance of the purchase price should be settled by the bidder or his financial institution within 90 days or 120 days depending on the condition of sales.
d) It is advisable that the successful bidder should immediately apply the loan amount required to settle the purchase.
Vacant possession of the property
Most of the auction properties are sold on a ¡°as is where is basis¡±. Therefore, successful bidder of the subject property will have to use his best endeavors to evict any existing occupant and gain vacant possession of the property.
What do I need to bring to the auction in order to bid?
All that is required for a potential buyer to bid at all public auctions is a banker's cheque or bank draft in favor of the name listed in the Proclaimation of Sale. Personal cheque or Letters of Credit are NOT accepted.
What is the general guide to acquire an auction properties in the simplest way ?