Bank auctions are a more affordable and wise option to purchase your dream home. I talked about some of the bank auction dos and don’ts.

Why is Real Estate Auctioned?
When a borrower misses three consecutive home loan EMIs, the bank often starts the auction procedure. The consumer is provided with a notice requesting a response within 60 days as to why the bank shouldn’t start a property auction owing to payment failure. The notice is withdrawn if the borrower is able to make the installments.

How to Buy a Property in a Bank Auction


First, look for bank auction properties.
Given that India lacks centralized data, this is one of the most difficult steps.
There are some websites that may provide information about Bank Auction Property.
Usually, access to this information requires payment. These websites don’t get updated frequently.
Other information sources include newspapers, notices posted at bank branches or on society bulletin boards.
Additionally, you can review auction notices on sites like

2: Verify Property Specifics
Once you’ve narrowed down the properties from the bank auction, perform a quick inspection on your own.
Verify the property’s market value, the reason for the bank auction, which is plainly a payment default, and any pending legal matters.

3: examining the property
Physically inspecting the property is advised. Nowadays banks have started putting the inspection date and time in auction notification.
To inspect the property, you can go to the location at the appointed time. You can reach the concerned officer using the information provided in the e-auction notice.
It is best to get in touch with him and ask for all the information.

4. Submitting the Tender Form
You can gather the tender form in this phase, and you must also deposit the earnest money deposit (EMD) with the tender form.
EMD is often deposited using a demand draft or banker’s check.
Please review all of the information on the tender form before submitting it before the deadline.

5: Submission of Bid/Tender Forms
You can use the bid form to make your offer. Tender forms and bid forms are typically interchangeable.
During the e-auction window, you can place several bids in an e-auction.
Except for e-auctions, there is no set procedure for placing bids. The bank has sole discretion over it.

6: The Auction Date
On auction date, visit the site / bank / auction venue to check whether you won the bank auction or not.
The Highest bidder is declared winner of a bank auction, then he/she needs to deposit 25% of the bid amount within 24 hours including EMD.
Balance bid amount should be deposited within 15 to 30 days from the date of bank auction.

7: Sale Certificate
75% of the amount is paid after that. Although you will receive a sale certificate from the bank, the title transfer won’t be complete until the sale certificate is registered at the sub-registrar office.

8: Register the Sale Certificate in the office of the Sub-Registrar.
According to what I stated in my earlier post on bank auctions, you can register a sale certificate and should request that the defaulter be listed as a confirming party.
When registering a property, the authorised bank executive must sign the sale certificate.