Passed In

A passed-in result simply means the highest bid did not meet the minimum price the seller was willing to accept. Rather than ending the campaign, it triggers a private negotiation phase that often leads to the actual sale. In many cases, the highest bidder is given the first right to negotiate because they have demonstrated the strongest interest. A skilled agent can use the urgency and emotion of the auction environment to generate leverage in this post-auction conversation. Properties that pass in frequently sell shortly afterward, sometimes even at or above reserve, depending on how negotiations are handled. Passing in can also be strategic, giving the seller more time and control when buyer sentiment indicates they may be willing to stretch further. The key factor is how effectively the agent engages every interested buyer immediately after the auction moment.

Practical Example

Your property goes to auction with several registered bidders, but fast bidding stalls at $1.1 million, which is below your $1.15 million reserve. The auctioneer announces the property is passed in to the highest bidder, who is invited inside for private negotiations. Your agent uses the presence of other interested parties to maintain competitive pressure during the discussion. The highest bidder increases their offer twice as your agent skilfully reframes value and highlights market conditions. Meanwhile, your agent keeps backup buyers warm in case the negotiation falls through. Within 40 minutes, the buyer agrees to pay $1.155 million, satisfying your reserve and securing a positive outcome. What looked like a disappointing moment becomes a successful sale due to strong post-auction strategy.

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