An auction is a public sale, usually conducted by an agent acting as auctioneer. The auction is advertised for a specific place, time and date. Prospective buyers bid and, if the property is declared ‘on the market’, it is offered to the highest bidder.
Common features of an auction:
• the price is determined by competitive bidding between prospective buyers
• the contract is unconditional
• you have no cooling-off rights if you buy at auction.
Source: Consumer Affairs Victoria