CNA Explains: First properties seized in S$3b money laundering case go to auction this week. How will it work?

If there are no bids, or bidding does not reach the reserve price – the minimum price the seller has authorised for the auction sale – the property remains unsold.

The property may be offered again, or negotiations may continue afterwards through private treaty, said Mr Tan.

“An unsuccessful auction does not automatically mean the seller will accept a lower price,” he said.

Who can purchase a property at an auction?

Anyone may purchase a property at an auction, ETC’s Ms Tan said. That is provided they meet the legal and regulatory eligibility criteria for the property being sold.

Prospective buyers should also ensure that they have obtained the necessary In-Principle Approval from their bank, where applicable, and are strongly encouraged to inspect the property where possible and conduct their necessary due diligence before the auction, Ms Tan said.

Interested bidders are also required to register their intention to participate in advance with the appointed salesperson or representative before attending the auction, she added.

Members of the public may also attend auctions as observers, subject to the event’s arrangements and venue capacity.

Mr Tan said their events usually attract anywhere between a handful and dozens of attendees, depending on the type of listings offered and prevailing market interest. For Knight Frank’s auctions, registered bidders can also use their app.

Mr Mak said property auctions usually attract more “busybodies and speculators” than buyers.

“The parties who will be watching the auctions of the seized assets more closely than other people will include interested buyers, owners of properties in the same condominium project or nearby projects because either they are interested to buy or they are simply curious,” he said.