Property auctions carry real risks that first-time bidders often overlook. Properties are typically sold "as-is, where-is" — meaning the bank makes no guarantees about the condition or occupancy status of the asset.
Legal due diligence is critical: verify there are no pending litigations, unpaid property taxes, or unresolved ownership disputes tied to the property.
Bidders should also budget for costs beyond the winning bid — stamp duty, registration fees, and potential legal costs to clear any existing occupants — before committing their EMD.