What is "Passed in"

If bids do not meet the seller's reserve, the property may be 'passed in' or 'withdrawn from auction'. The highest bidder then gets first right to negotiate a price with the seller. If the highest bidder and seller cannot agree on a price, the estate agent may approach another bidder to negotiate a sale price. If the seller cannot agree on a price with any buyer and they decide to leave the property on the market, they may offer it for private sale. If the agent advertises the property after the auction at the ‘passed in’ amount, they must disclose if it was a vendor bid.