Live Auctions: How They Work
Everything you need to know about buying and selling at auction on A-Part.
What is an A-Part Live Auction?
A-Part's live auction system allows properties to be sold via real-time online bidding. Unlike traditional auctions held at the property, our auctions happen entirely online - meaning buyers can participate from anywhere in Australia.
Key features of A-Part auctions:
- Real-time bidding - Bids update instantly for all participants
- Transparent process - All bids are visible, with bid history tracked
- Soft-close technology - If a bid is placed near the end, the auction extends to prevent sniping
- Reserve price protection - Sellers set a reserve price; the property won't sell below it
For Buyers: How to Participate
Step 1: Register as a Bidder
Before you can bid, you must register for the auction through the listing page. Registration may require:
- A valid A-Part account
- Payment of a refundable deposit (amount set by the seller)
- Acceptance of the auction terms and conditions
Step 2: Pre-Auction
Before the auction starts, you'll see a countdown timer on the listing page. Use this time to:
- Attend any final inspections
- Review the contract of sale with your solicitor
- Arrange your finance pre-approval
- Set your maximum budget
Step 3: Bid Live
When the auction opens, you can place bids in real-time. The current highest bid, number of bids, and bid history are all visible. Bids must meet or exceed the minimum increment set by the seller.
Tip: Set your maximum budget before the auction starts and stick to it. The excitement of live bidding can lead to emotional decisions. Know your limit.
How Bidding Works
Minimum Bid Increment
Each auction has a minimum bid increment (e.g., $1,000). Your bid must be at least this amount above the current highest bid.
Reserve Price
The seller sets a confidential reserve price. If bidding doesn't reach the reserve, the property is "passed in" and the highest bidder may have the opportunity to negotiate with the seller.
Soft Close
If a bid is placed in the final minutes of the auction, the closing time automatically extends. This prevents last-second "sniping" and ensures all bidders have a fair chance to respond.
Winning the Auction
When the auction ends, the highest bidder wins (provided the reserve has been met). The winning bidder's deposit is held, and the sale proceeds to contract exchange and settlement.
Bidding Rules & Fair Play
A-Part is committed to maintaining a fair and transparent auction environment for all participants. The following conduct is strictly prohibited and may result in account suspension or legal action.
What is Shill Bidding?
Shill bidding occurs when a seller, their associates, family members, or fake accounts place bids on an auction to artificially inflate the price. This practice deceives genuine buyers into paying more than the market would otherwise bear.
Examples of shill bidding include:
- A seller bidding on their own property under a different account
- A friend or family member of the seller placing bids with no intention to buy
- Creating multiple accounts to bid against legitimate buyers
- Any arrangement where bids are placed solely to drive up the price rather than to genuinely purchase the property
Why is it Prohibited?
Shill bidding is not just against our platform rules - it is illegal under Australian law. In Victoria, the Estate Agents (Professional Conduct) Regulations 2018 and the Sale of Land Act 1962 prohibit dummy bidding and vendor bidding at property auctions. Penalties can include fines and loss of licence.
Shill bidding undermines trust in the auction process and harms genuine buyers who rely on bids being real indications of market interest.
Important: Shill bidding is a serious offence. It is illegal under Victorian law and carries significant penalties. A-Part has a zero-tolerance policy for this conduct.
How We Detect It
A-Part actively monitors all auction activity. Our platform tracks:
- Bidding patterns - Unusual bid timing, amounts, and frequency across auctions
- Account relationships - Shared contact details, IP addresses, or payment methods between bidders and sellers
- User reports - We investigate every report submitted by our users
Consequences
If shill bidding or any form of bid manipulation is confirmed, the following actions may be taken:
- Immediate suspension or permanent ban of all accounts involved
- Cancellation of the auction and refunds to all legitimate bidders
- Reporting to Consumer Affairs Victoria for investigation
- Forfeiture of any deposits or fees paid
How to Report Suspicious Activity
If you believe a bid or listing is suspicious, you can report it directly from the listing page. Look for the report button in the sidebar or the flag icon next to individual bids in the bid history.
All reports are reviewed by our team and treated confidentially. You will not be identified to the seller or other bidders.
For Sellers: Listing for Auction
To list your property for auction, select "Auction" as the listing type in the creation wizard. You'll need to set:
- Auction start date and time - When bidding begins
- Auction end date and time - When bidding closes (subject to soft-close extension)
- Reserve price - The minimum price you'll accept (confidential)
- Minimum bid increment - The smallest bid increase allowed
- Deposit amount - How much bidders must pay to register
- Registration required - Whether bidders must pre-register
Auction FAQ
If you don't win the auction, your registration deposit is fully refunded. Deposits are only retained for the winning bidder as part of the purchase process.
Once placed, bids cannot be withdrawn. This is standard auction practice and ensures all participants can trust that bids are genuine.
If bidding doesn't reach the reserve price, the property is "passed in." The highest bidder is typically given the first opportunity to negotiate directly with the seller to try to reach an agreement.
Auction sales are typically unconditional - meaning there are no cooling-off periods or subject-to-finance clauses. This is why we recommend having your finances pre-approved and legal advice in place before the auction.