Outrage as Australian house auctioned twice
Properties sold at auction in Melbourne may not go to the winning bidder after a real estate agent on Saturday sold a Burwood East home for more money after the hammer fell.
The auction exposed a legal grey area, sparked outrage among the crowd – and drew the promise of a probe by the Real Estate Institute of Victoria.
Hao Chen thought he had bought the home at 10 Aruma Court (pictured) after the auctioneer brought down his hammer and declared the property sold. But moments later – in front of a large and dismayed crowd – the auctioneer’s boss allowed a late bid of $1000 more.
“(The auctioneer’s) hand hit the piece of paper, the property was sold,” said Martin Bona, a local resident at the auction.
Waverley City First National auctioneer David Makris said he had closed the auction before accepting the new bid at the behest of his boss, First National managing director Thomas Som.
Buyer’s advocate Chris Koren, of Morrell & Koren, said the practice, while rare, undermined the integrity of the auction process.
“For want of a little bit more money, this will cause a lot of criticism in the industry and about the industry,” Mr Koren said.
A distressed Mr Chen told The Sunday Age he had been treated unfairly.
Related posts:
