Property Auctions: How To Set Your Top Bid

How should I set my top bid?

When setting your top bid, you have to decide what you're looking to achieve out of the property. If you're looking to sell the property, having refurbished it, from the estimated value of the property when done you would actually need to subtract the amount of money for fees, the profit you would like to make out of it – 1 or 2% - and the cost of refurbishment works. When you deduct all these costs from the finished value of the property, you'll then have your top bid. Going above your top bid at auction can mean you're going to eat into your profit, or indeed lose money. And bear in mind, just because somebody else is going to bid higher than you, it doesn't mean they're going to make a profit; so do stick to your top bid.