Three Ways to Buy the Same House
In New Zealand, a property can be sold by private treaty (negotiation), auction, or tender — and which method the seller chooses changes how you need to prepare as a buyer. The biggest difference isn't the price you might pay, it's when you're allowed to attach conditions like finance or a building report.
Private Treaty
Auction
Tender
At auction, you legally commit the moment the hammer falls — there's no building report, finance, or LIM condition to fall back on if something goes wrong afterwards.
Before You Bid or Submit an Offer
Complete due diligence early
For auction and most tenders, your building report, LIM and title check need to happen before bidding, not after.
Get unconditional finance confirmed
A standard pre-approval isn't the same as confirmed, unconditional finance — check with your lender exactly what you have.
Read the auction or tender terms carefully
Some tenders do accept conditional offers — check before assuming you must go in unconditional.
Have your deposit ready
Auction winners are typically expected to pay a deposit immediately, so have this organised beforehand.
Quick Summary
- Private treaty: most flexible, allows conditions.
- Auction: unconditional, no cooling-off — do all checks first.
- Tender: sealed bids; some accept conditions, so read the terms.