Buy property cheaply at auction, so keep these things in mind

Auction prices are usually around 20 to 30 percent less than market prices. However, there are also risks of purchasing such property. So if you are thinking of buying property at auction cheaply, then keep the following points in mind.

• Find out the market value of the property before you buy it. For this, hire a professional property appraiser and according to what the price appraiser tells you, transact the property accordingly.
• If you have bid for the property, know that the bidders will have to deposit 10% of the reserve price in the form of deposits. On winning the bid, 25% of the share will have to be deposited on the same day. Failure to do so will result in forfeiture of money. Therefore, you should arrange sufficient amount before the auction process.
• Before purchasing the property, make sure to check all the necessary documents including the original sale deed and non-encroachment certificate.
• Before submitting your bid, check that the owner has a recovery certificate from the Data Recovery Tribunal. Also, to protect the owner from any future claims, please take a certificate of compensation from the bank.