Friday, April 18, 2014

Auction Terms

As Is:

Selling the property without warranties as to the condition and or the fitness of the property for a piticular use. Buyers are solely responsible for examining and judging the property for their own protection, Otherwise knows “As Is Where Is”.

Auction listing agreement:

A contract executed by the auctioneer and the seller which authorizes the auctioneer to conduct the auction and sets out the terms of the agreement and the rights of each responsible party.

Auction with reserve:

(Subject to estate or seller conformation) An auction in which the seller and or their agent reserve the right to accept the highest bid offered. A minimum acceptable price may or may not be disclosed and the seller reserves the right to accept the bid offered.

Ballroom auction:

An auction of one or more properties conducted in a meeting room or community hall facility.

Bidders choice:

A method of sale whereby the successful high bidder wins the right to choose a property or properties of a group of similar like type properties. After the high bidder selection of a property it is removed form the group, the second round of bidding commences or the auctioneer may ask if someone else wishes a selection at the price offered. If not the bidding may commence again and continue until all like type properties are sold.

Sale bill:

The most common form of advertising an auction. Typically these are printed on a paper stock with a list of the times to be sold and the information about the auction along with the terms and conditions. These have been around as long as auctions have been around. The national auctioneers association archives has many types of historic sale bills to browse through.

On line auction:

An auction of personal property and or real estate that is conduced on line via the internet. All bidding is done via the internet through the auctioneers website or a host website for the auction company.

Buyers premium:

A percentage added on the high bid. Buyer premiums are used by many auction companies. It is important to keep in mind that amount is added to the high bid in addition the winning hammer price.

Caveat Emptor:

A Latin term meaning “let the buyer beware”. A legal maxim stating that the buyer takes the risk regarding the quality of condition of the property purchased, unless protected by warranty. Also see “As is Where Is”.

Opening bid:

The lowest acceptable amount at which the bidding must commence.

Minimum Bid Auction:

An auction in which the auctioneer will accept bids at or above a disclosed price. The minimum bid is always stated in the brochure and advertisements and is likewise announced at the auction.

Terms and Conditions:

“Terms an Conditions. Are printed rules and format of the auction. Terms and conditions outline the type of auction, and any other pertinent information about the auction. The terms and conditions may vary between auctions and auction companies.

Ringman or Ringperson:

The ringman or ringperson is a member of the auction team who works with the bidders throughout the auction. A ringman is generally recognized as the person in the crowd yelling and flashing hand signals to the auctioneer when a bid has been made. This individual works the auction crowd. Hence the term ringman.

Clerk:

This is a vital link in the auction profession. This is the person who records the price bid, the description of the item sold, and the amount it sold for. This information is then delivered to the cashier.

Cashier:

This person or persons are likewise a vital link in the auction profession. They are the staff who will register you into the auction, keep the books of the auction, and most important the one who you will settle up with at the conclusion of the auction. FYI. The clerk and the cashier are people who you need to be very nice to at an auction.

Before you bid:

Arrive early and register for the auction, this will give you extra time to look over the items offered at the auction and understand the order of the auction.

Bid in sync with the rhythmic chant of the auctioneer. You should be listening closely and follow the increasing bid increments. All auctioneers have a different chant. Remember filler words in the auctioneer’s chant are used to remind bidders of the
amount the auctioneer has bid and the amount they are asking for. If in doubt about your bid make sure your hand is in the air and the auctioneer and or ringperson recognizes your bid.
You come to bid, you want to win!

Always read the terms and conditions prior to the auction, these are the rules of the auction. Inspect the items before you bid and win the bid. Items are sold, “as is” which means you can not return them.