Whether you’re a buyer or a seller, if you’re involved in the property market, you’ve likely heard the term Super Saturday thrown around.
Super Saturday is a loose term to describe a weekend where there is a surge of property listings placed on the market for auction. In cities such as Sydney or Melbourne, there are usually several Super Saturdays throughout the year.
Super Saturdays tend to be a buyer’s market. The more auctions there are on one day, the more likely it is that you could be the only or the highest bidder on a property. If the property gets passed in, it can also make direct negotiations with the vendor easier with less competition around.
Historically, the weekend before Easter sees a rise in the number of properties set for auction. This year, with an extra three Saturdays before the long weekend we’ve seen a steady increase in auctions each week. Sellers with properties on the market during this period are likely selling with urgency, with those able to wait happy to sell after the Easter and Anzac Day period.
Making the most of super Saturday and snapping up a bargain or buying your dream home requires planning, preparation and patience – or you could find yourself missing out.
Here are our top tips to make sure you come out on top this Super Saturday:
- Be sure to observe a few auctions that you don’t intend to bid in beforehand! Auctions can be intimidating, so having an understanding of what will happen on the day can help calm your nerves
- Research, research, research! Make tiered shortlists with all of your favourite properties. Find out what the properties are worth from online research or through an independent property valuer. When going the online route, make sure to note what houses of similar size and features in the same area have sold for (rather than just what they were listed for)
- Work out your budget, including upper and lower ranges and be sure to stick to it. Remember that no house is worth the financial burden of a mortgage you can’t repay
- Have a property and conveyancing lawyer look over the contract of sale before attending the auction. It can cost you thousands if you sign a bad contract because you didn’t want to spend a couple of hundred dollars having a qualified lawyer read the contract first
- Most auction sales bypass the cooling off period, so you will need to have all pest, building, and council zoning inspections done before auction day
- To get a better understanding of the interest in the property, call ahead to see if they will tell you how many people have pre-registered to bid
Before bidding on any properties, it’s important to ensure you have pre-approval on your loan. Remember, not all pre-approvals are made equal. You will need an unconditional approval before exchanging contracts or committing to a purchase.
When applying for approvals, enquire about whether it is a full assessment or a system generated approval, as you can rely more on a pre-approval from a full assessment. It’s also important to note the expiration date of your pre-approval, with many valid for only three to six months.
Having an interest in more than one property is a common scenario for buyers looking to make the most of a Super Saturday.
It’s a catch 22 situation – bid at a property you like but don’t love and you might just win – blocking you from buying your ideal property.
Ultimately, you need to consider which home more closely meets your needs – go with your gut. There will always be more properties on the market, and you don’t want to purchase a home on impulse and the fear of missing out.
If there are two properties that you are sure would be the right choice for you and you have a partner or trusted advisor, you could divide and conquer (so long as the auctions aren’t at the same time). Ensure you have a clear understanding of how you will communicate on the day and you are both sure of what your highest bid will be on each property.
Auction day nerves can get the better of us; making the simplest of things slip your mind. Come auction time, make sure you have identification to register to bid.
Be gentle with yourself, bidding on a home is a high-stress environment, so don’t be afraid to seek help if you need it by speaking to the auctioneer or agent. You can even ask for a couple of minutes to reassess the situation.
Remember a personal or bank cheque on the day to cover the deposit if you’re successful!
Earlier we suggested having tiered short lists of your favourite properties. If you don’t win on auction day, be sure to go back and note the sale prices for some of your second-tier favourites.
The opinions expressed in this article are the opinions of the author(s) and not necessarily those of State Custodians. The above is general commentary only and is not advice tailored to any individual’s financial situation. We recommend seeking advice from a mortgage or finance professional before implementing changes relating to your finances.
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