| Answers |
| · What is an auctioneer?
A person who sells or offers or attempts to sell property at auction. The term includes any person who holds himself out as engaged in the business of selling property at auction.
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| · What is an auction or sale at auction?
The offer to sell property by an auctioneer to the members of an audience congregated for the purpose of making bids for the purchase of the property in an effort by the auctioneer to advance the amount of the bids to obtain the highest or most favorable offer.
Advantages & Benefits of the Auction Method for selling your property:
1) Concentrated marketing time is normally 2 to 4 weeks prior to the auction. This also depends on the type of auction being conducted. This can ease the burden of holding or storage costs associated with other forms of liquidating assets.
2) Highly aggressive marketing program focuses attention on your needs. Bringing groups of buyers to competitively bid on your property. Competition among bidders stimulates prices and establishes current fair market values.
3) Treating all parties in the transaction in a fair and equitable manner. Open and public, allowing all qualified bidders to participate. Many attorneys, bankers, accountants and government agencies use the auction method.
4) Quick, efficient and easy way to convert your personal and real property into cash.
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| · How do I know the person is a licensed auctioneer?
You can check online with the Department of State Professional Licensing Bureau. You can ask to see their license.
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| · Where do I have an auction?
Outside, move to a hall, or auction house. Many times, firehalls are used for auctions.
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| · How do people know about the auction?
Advertising by the Auctioneer, Auctioneer’s website, Auctionzip.com, newspapers, direct mail, email, signage.
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| · Should the auctioneer/crew bid or buy at the auction?
NO. It is in the state rules and regulations that an auctioneer should not buy when under contract. They will sometimes buy under someone else’s name. This is also considered unethical. It is up to the discretion of the auctioneer if members of the auction crew should be permitted to buy. Again, anyone with a vested interest associated with the auctioneer contracted should not buy. It is prohibited for any licensed auctioneer to bid and buy for himself at any auction he is conducting.
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| · What can I sell at auction?
Almost anything. There are some rules and regulations that govern what can and can’t be sold. The professional auctioneer should know these things. ATF (alcohol, tobacco, firearms), Game Commission, Federal and State laws play a big part in what can be sold. Home collections, business downsizing.
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| · Can I sell my home at auction?
Yes. Definitely. It is probably the best way to sell your real estate. You don’t get the first offer that comes along, but the highest offer offered. Generally, more people at one time willing to make offers. You can also sell your business, real estate lots, etc.
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| · Can I sell my collection?
Yes. With specialty auctions, usually generates a concentrated group of people for competitive bidding which brings high dollars.
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| · Is there a cost to buy/register?
Some auctions do require a deposit which would be in the terms and conditions of sale. There is something known as a buyer’s premium. This is a cost to buy, generally a percentage which actually belongs to the seller, but in many cases is signed over to the auctioneer and stated in the contract.
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| · Should I have a contract?
Yes. Prior to conducting an auction sale, an auctioneer shall enter into a written contract, in duplicate, with the owner or consignor of the property to be sold, containing the terms and conditions upon which the licensee agrees to conduct the auction sale.
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| · I live in another state. Can your auction service HELP?
Yes, we can help. We handle many estates of clients that reside out of state. If you are an executor, executrix, family member, inherited an estate, business owner, etc, we can help with your needs. Just give us a call.
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| · Auctioneers conduct
This also includes professional conduct of the auctioneer and crew/staff. They should never criticize, condemn, or complain. Off color jokes are not good. Light humor is good. No foul/vulgar language.
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| · What do I do when I get to the auction?
Get there early. Register and receive a bidder’s number. Find a place to sit. You sometimes have to bring your own chair/boxes. Examine the merchandise. Some people make a list of what they are interested in bidding on, or bring a list of what you are interested in bidding on. The auction should start promptly with a welcome and terms and conditions of the sale. Then start bidding. Don’t forget to pay for your items. Be careful to keep an eye on your purchased items. They are yours and your responsibility.
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| · What do they mean/what is meant by “the sound that sells?”
The sound that sells. Auctioneers usually sound different from each other. This is called a chant or call. Some are fast. Some slow. Some almost melodic or rhythmic. It should be clear and understandable. (A good PA system helps.) It should generate excitement.
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| · How do I bid?
With your bidder’s number. Don’t be afraid to call-out to the auctioneer to get their attention. Let the auctioneer see your number for proper book-keeping (recording).
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| · Can I see/examine the items being sold?
Yes. You should examine before you buy. Be wary of an auction where you are not aloud to examine the items.
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| · How do I know who I am bidding against?
Many times you don’t, but you can ask to know who you are bidding against. It may be an absentee bidder or someone being discreet.
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| · Misleading ad/advertising
Any misleading or untruthful advertising. Knowingly making any substantial misrepresentation. Knowingly using false bidders, cappers, or puffers. Knowingly making any false promise of a character likely to influence, persuade or induce. A continued or flagrant course of misrepresentation or making false promises through agents or apprentice auctioneers. Any act or conduct in connection with a sales transaction which demonstrates incompetency, bad faith or dishonesty.
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| · How do I pay?
Cash, check, some auctions accept credit cards, and this should be stated in the terms and conditions.
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| · What are the terms/conditions?
The rules of the auction. The specific terms of how bidders are to bid, pay for items, and removal of the goods. Must be stated before the bidding begins.
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| · How are items sold?
Generally, in as-is condition, with no warrantee.
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| · What are the charges for an auction?
They vary and are negotiable. Tag sale. If you have enough personal property for a tag sale, you likely have enough for an auction. Before you commit to a tag sale, check with an auctioneer.
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| · Can an auction house come and hold an auction at my home?
NO. Auction house licenses are specific to the location of the auction house.
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| · What is an appraisal?
An estimate or opinion of value, based upon relevant and factual data, as of a given date, and is usually in writing. Can either be verbal or a written document, although only the latter is valid for legal purposes such as probate, divorce, estate settlement.
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| · Why not use eBay or the eBay drop-off?
They advertise and sell it to the world. What if you don’t have a computer? Most items are common in the world market. An auctioneer can take items on consignment for less commission than ebay profit charges. Sitting there at the auction with all the excitement. The eBay drop-off charges a hefty commission and usually has a charge if an item does not sell.
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| · I’m thinking about having an auction. What should I do? How do I find a professional auctioneer?
You have found a professional auctioneer. Call me to see how I can help you with what is usually a life altering event. Loss of a loved one, downsizing, relocation can be difficult events. The above FAQs could be viewed as an informal interview. I’ve provided you with a considerable amount of information. I have had life altering events in my personal life and can understand what you are going through. Again, call me, Bill Evans.
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