Auctions are probably one of the best ways to find below market value property, not least because they are not only accessible to anyone and everyone, but anyone and everyone can use them to their maximum benefit -- if they know how of course.
When we hear the word auction, for most it not doubt conjures up imagery of a large dusty room with a high ceiling, a lot of covered objects and a man on stage speaking almost in tongues as he tries to achieve the highest price for his commissioned wares. But, like everything else in the world, time has had its effect on auctions, and this is about as far from the mark as it could be.
Nowadays property auctions are as likely to have you bidding by computer or phone as sitting in that high-ceilinged room. Almost all auctions post their lots to a website for advanced viewings -- many even allow potential bidders to pre-qualify and for others still this is mandatory.
But the key part of the above for those avidly on the hunt for bmv properties, is the fact that almost all auctions post their offerings to a website in advance of the big day -- often quite some time in advance. This is the key in the hunt for bmv property; having time to analyse the property, to do the necessary research in order to come up with a figure as to its true value, so that you can ascertain what price-range will make it a good bmv investment.
And it is something that is surprisingly rare in bmv property investment; properties have a tendency to sell quite quickly with the proper marketing clout, so buyers are often forced to buy property below market value, before they can be 100% sure that it is below market value.
Some people mistakenly think that auctions leave you worse off in this respect, because you can't view the property, but this is false. In most property auctions there are scheduled viewing times, where prospective bidders (possibly only pre-qualified bidders if qualification is mandatory) can meet and be shown round the properties being sold at the auction.
When you have the opportunity to see the properties that will be sold online, view them in person, and time to research what similar houses are selling for, minus the amount needing to be spent on renovation works, you can decide on the maximum price you can pay to achieve a good return on investment. This then becomes the ceiling for your bids. With your bid ceilings firmly set you can attend the auctions with a feeling of empowerment. More importantly you can formulate a bidding strategy that will make winning more likely, but this is a topic in its own right -- one for another article perhaps.