AUCTION TIPS
Knowing how is half the fun!

     Love to go to auctions? Here are some helpful tips to make your auction experience as fun as possible...not to mention getting the best deal possible!

1. Start by Observing
   One of the best ways to learn is by observation. Attend a couple of auctions with
   the intention to simply watch and learn. You'll get the feel for how things work and be prepared to avoid costly mistakes.
2. Attend the Preview
   The preview can be held for a few days before the auction of just a few hours before the auction begins. It is open to the public and free of charge. This is your chance to look items over thoroughly and to  get up close to see any damage or problems with an item.
3. Be Prepared
4. Know what you are looking at. Here's where reference books and price guides and the internet come in handy. Doing the legwork beforehand increased the likelihood that you will pay a fair price at auction. Not doing so can lead to disaster.
5. Learn the Terminology
   There are a few terms that you need to understand so that you get the best buy  at an auction: 
                        (a) Pre-sale estimate: The auction house bases this price on their
                              past experience. It is the price they expect to sell the item
                              for.
                        (b) Provenance: It is the history of the piece detailing past
                             owners. This information is not always available, but it can
                             be a juicy tidbit depending on the owner.
                        (c) Start Price: This is the price at which the auction will begin.
                        (d) Reserve Price: This is the pre-set amount that the seller
                             has agreed in the amount he/she will accept. Not all items
                             will have a reserve. Keep in mind no reserve will sell even
                             if there is only one bid at the start price. With items with
                             no reserve, if you win, you pay.
                             On the other hand, items with a reserve will only sell if the
                             reserve price is met. You'll find out if the reserve has been
                             met after the bidding is over. The reserve price is not
                             disclosed at the close of bidding, only if the reserve price
                             was met.
                   (e) As-Is: Just as it sounds, as-is means the items is selling in the
                            condition currently in. It likely means that the item is a fixer-
                            upper or needs work.
                   (f) Hammer Price: This is the price that item sells for when the
                            gavel drops.
                       (g) Conditions of Sale: This refers to the terms and conditions of
                             the sale including any warranties, special instructions, etc.
                       (h)  Lots: There are two meaning for 'lot' at an auction. First, all
                             items up for sale are assigned a number. This is referred to
                             in the catalogue and by the auctioneer as a lot. Second, a
                             number of small items such as a collection of jewelry can be
                             grouped together and sold as a lump sum. This too is a 'lot'.
                   (i)  Absentee Bid: Bidders do not have to physically be in the
                             auction house of the auction to bid. Bids can be placed by
                             phone, fax, or online (if allowed). Arrangements can be made
                             beforehand to place an absentee bid.
6. Read the Auction Catalogue or Listing Online
   Get the auction catalogue and read it thoroughly. It will list the lots in the auction. The catalogue may be a hard copy or available online.
7. Register for Auction
   To bid at an auction, you need to register before the auction begins. Your name, address and phone number may be required to make a deposit. You will receive a bidding number. This helps the auction house keep track of who won what item.
8. Stay Cool Once the Bidding Begins
   Before the bidding begins, decide what to bid on and what you want to pay. Stick to your plan. We'll say it again, STICK TO YOUR PLAN! Don't get into a bidding war. You may be sorry if buyer's remorse kicks in.
9. Know About Additional Costs
   Often auction houses charge a buyer's premium. It is an additional surcharge the auction house adds to the hammer price, taxes are calculated after these are added.
10. After-Sale Bid
    If a lot doesn't sell, ask if the auction accepts after-sale bids (a reasonable offer that a bidder makes after the auction closes for an item that did not sell). Some houses allow it.
11. Find Out About Payment and Shipping
    Make sure you know beforehand what forms of payment are accepted. If your
    purchase is big, have a plan for how you'll get it home.
12. Attend Midweek Sales
    Midweek sales can be less crowded than weekend sales. Less competition means
    better deals.
13. Attend a Variety of Auctions
    Don't discount an auction that is not geared to your area of interest. A
    furniture auction will likely have computers, filing cabinets and basic office
    furniture but there may be the odd piece of antique furniture. You'll find this
    out at the preview. At this office furniture auction, most attendees will be
    seeking the computers and filing cabinets. There may not be as many
    attendees interested in the furniture. So, you may come away with a great deal!