Ann Marie, it's an auctioneer's job to tell anyone and everyone there has been a lot of interest in a property. That is what they get paid for, even if what they have to say has little relation to the truth. Interest does not mean buyers, in a recession they [buyers] are thin on the ground everywhere. I would recommend you budget what you can afford and factor in what it will cost to put the property to rights. Much of the work may be well beyond your scope, and contractors tend to charge like a wounded bull.

Now knowing your limits attend the auction, you may be very surprised at how the bidding goes (or doesn't go). Few people are in your position of being a cash buyer, and vendors do not like turning down unconditional buyers. Let the auctioneer know you are unconditional buyers. Most vendors put a reserve that is too high in the hope of finding a mug, if the auctioneer knows you are an unconditional buyer, he may well talk to the vendor on your behalf. Try to find out what the reserve is, a phone call to the auctioneers should give you a good indication. If this is within your budget, attend the auction, and should it fail to make the reserve you are in a very strong position to negotiate. Remember, the vendors won't want to go right through the auction process all over again, as it's costing them money.

At present real estate is a buyers market. People who are able to take on an unconditional contract, pay the deposit and then settle on the due date are very few and far between. To the auctioneer you are gold dust, meaning a guaranteed sale, therefore guaranteed commission. Go for it but remember your limit, it's awfully easy at auction to further than you anticipated, and auctioneers are there to encourage buyers to do exactly that. 

Me. said:

Ann Marie, it's an auctioneer's job to tell anyone and everyone there has been a lot of interest in a property. That is what they get paid for, even if what they have to say has little relation to the truth. Interest does not mean buyers, in a recession they [buyers] are thin on the ground everywhere. I would recommend you budget what you can afford and factor in what it will cost to put the property to rights. Much of the work may be well beyond your scope, and contractors tend to charge like a wounded bull.

Now knowing your limits attend the auction, you may be very surprised at how the bidding goes (or doesn't go). Few people are in your position of being a cash buyer, and vendors do not like turning down unconditional buyers. Let the auctioneer know you are unconditional buyers. Most vendors put a reserve that is too high in the hope of finding a mug, if the auctioneer knows you are an unconditional buyer, he may well talk to the vendor on your behalf. Try to find out what the reserve is, a phone call to the auctioneers should give you a good indication. If this is within your budget, attend the auction, and should it fail to make the reserve you are in a very strong position to negotiate. Remember, the vendors won't want to go right through the auction process all over again, as it's costing them money.

At present real estate is a buyers market. People who are able to take on an unconditional contract, pay the deposit and then settle on the due date are very few and far between. To the auctioneer you are gold dust, meaning a guaranteed sale, therefore guaranteed commission. Go for it but remember your limit, it's awfully easy at auction to further than you anticipated, and auctioneers are there to encourage buyers to do exactly that. 

Your advice is very sound, 'ME'. I know what estate agents/auctioneers can be like. I have had a few friends that are or were estate agents and obviously they want to get the most for a property because they earn more. Anyway, this particular auctioneer seemed like a very genuine person. He thought it would go for less than we had envisaged. He had advised his client not to put it on now because he thought he could get a better price in March-April, but they wanted the sale to go ahead now. He said there are less buyers around this time of year. We will see what happens.