BUYING AND SELLING AT AUCTION
From a bag of marbles through to cars and property, auctions are an exciting and fun way to buy and sell. Even with the introduction of technology the basic process of the auction remains the same. Auctioneers and auction houses are governed by rules and guidelines that must be adhered to ensuring fair play for vendors, buyers and the auctioneers themselves. Staying within the guidelines, each auction house has its own established set of terms and conditions. Auctioneers styles of calling for bids vary greatly but the basic principle remains consistent. Below is a simple guide to buying and selling with Hinter Auctions.
Buying At Auction
The following is a basic guide to buying at auction.
It is a requirement that all buyers must register their details with Hinter Auctions prior to bidding.To register as a buyer you need to provide:
- Your name, address and phone number
- Your driver’s licence or similar official ID (Hinter Auctions staff will scan for records)
The customer registration form can be downloaded here…
Registration with Hinter Auctions is only required once. If you are registered then only check-in is required to bid at future auctions
Your bid card number
At all of our auctions, registered buyers are provided with a bidder number that is to be displayed to the auctioneer on a winning bid.
Buyers can receive their bid card number at the clerking desk on check-in prior to the auction. Only registered bidders will receive a bid card.
Bidding At Auction
Bidding at auction is a simple process.
The auctioneer will ask for a starting bid. He/she will often countdown in bidding increments until a hand or card is raised indicating the starting bid.
A starting bid can also be called out from the floor. The auctioneer will indicate if the starting bid is accepted. Once a starting bid is accepted by the auctioneer further bids are accepted.
To place a bid at a live auction is a simple matter of raising your bid card, hand or nodding your head (it must be a clear indication of a bid). If a bidder is not in clear sight of the auctioneer or bid spotter a bid could be called out verbally by the bidder.
A bidding increment is a price each bid will advance. This is set by the auctioneer during the auction.
There a few methods that bidding increments are set:
- Bids advance by the same amount that has been called during the countdown to establish a starting bid.
- The auctioneer will announce the bidding increments (bidding increments often change during bid calling)
- A bid increment could be called from the floor ie. if the bid increments are currently at $10.00 a bidder could indicate a $5.00 bid. If this is accepted by the auctioneer the concurrent bids will rise by $5.00
When bidding is stalled and it seems that there are no more advances the auctioneer will give a fair warning that the auction will come to an end. You will hear phrases such as:
- I’m going to sell it out
- I’m going to knock it down
- It’s had it’s time
- Out we go
This will be followed by 3 counts such as:
- 1st, 2nd, 3rd and final time – sold
- Quick, bidding, all done – sold
Winning The Bid
Winning the bid simply means that you are the final bidder and the item has been knocked down (sold) to you.
If you are the winning bidder simply hold your bid card so it can be viewed by the auctioneer. The auctioneer will announce your number and it will be recorded along with the price (by the auctioneer or clerk)
Paying For Items Won
Your winning bids are paid for at the clerking desk (where you register or receive the bid card).
Simply provide the clerk with your bidder’s number and an invoice will be generated for all of your winning bids. Your invoice will include:
- All of your items won
- Buyers premium (added to hammer price)
- Any GST applied
- Credit card fee (if applicable)
Hinter Auctions accepts the following payment methods:
- Credit/debit card (card fee applies)
- Direct transfer (if pre-arranged)
All items must be paid for in full prior to being removed from the auction area
Collecting Your Items
Once your items have been paid for in full show one of the porters your invoice marked paid. Your items will be collected from the auction floor and handed over to you.
Congratulations, your won items are now yours to enjoy 🙂
Selling At Auction
The following is a basic guide to selling at auction.
It is a requirement that all sellers must register their details with Hinter Auctions prior to submitting items for sale by consignment. To register you need to provide:
- Your name, address and phone number
- Your driver’s licence or similar official ID (Hinter Auctions staff will take a copy for records)
- Your Bank details for settlement purposes
Details for registration can be included on your goods consignment form
List Your Items
Provide a title and description of your items you wish to sell at the auction.
The goods consignment form can be downloaded here…
Sellers are able to place a reserve price on their items. The reserve is based on the hammer price and will ensure that the item/s will only be sold once it reaches the set price.
Some points to consider:
- The auctioneer must declare a reserve has been set. The auctioneer must also declare when the reserve has been met (on the market)
- The auctioneer WILL NOT declare the reserve price unless instructed to do so by the seller
- Reserves are not accepted under $50
- If the item does not sell during bidding it will be passed. The consigned item can be sold by the auction house post-auction at the reserve price
- A “No Sale” fee is charged on reserved items at 5.5% (capped at $11) of the set reserve price set by the vendor
Lotting and Cataloguing
Hinter Auctions will assign a lot number, photograph and add descriptions supplied to all consigned items. This will be compiled into a catalogue and made publicly available both online and in hard-copy for viewing.
If Your Item Is Sold
If your item is sold Hinter Auctions will:
- Take payment for the item (payments are deposited into the Hinter Auctions nominated trust account)
- Handover the item/s to the buyer
- Process seller settlement details
- Email the settlement details to the seller
- Pay the settlement funds into the seller nominated bank account
If Your Item Is Not Sold
If the item/s are not sold the seller will receive notification by email or phone. The seller is required to pay any fees owing and collect the consigned item/s within 48hrs of the auction