Auctions offer a wealth of interesting material and, more and
more, people are discovering that they are a good source of
furnishings at much less than retail cost.
Not only are antiques good value, but buying and selling at
auction is much easier than many people imagine. For those
unfamiliar with the saleroom process here is a simple step-by-step
introduction.
Armed with these essentials you have nothing to fear. It is
simply a matter of locating your local auctioneer using our searchable
directory.
Whether you are buying or selling, the rest is up to you.
Valuation
Cataloguing
Vendors: Need to Know
The Viewing
Bidding
Buyers: Need to Know
Auctioneers spend much of their working lives assessing the
value of possessions.
Most carry out valuations for insurance, probate and tax
purposes and provide detailed written reports where required.
A valuation fee is charged but may be waived if the items are
later sold with the same auctioneer.
If a formal valuation
is not required, most auctioneers will give a verbal valuation on
items brought to the saleroom and many conduct regular valuation
clinics which are free of charge.
Once the item reaches the saleroom a catalogue description,
together with a pre-sale estimate, is prepared.
This will include essential information such as size, shape and
an expected price range called the estimate, but when dealing with
an important object a cataloguer may also undertake research and
seek the opinions of an acknowledged expert in the field.
As the sale day approaches each
item is given a lot number and prepared for display during the
viewing periods.
Collection: If auctioneers offer this service,
they will charge a fee plus VAT.
Loss or Damage: The conditions of sale usually
allow an auctioneer to disclaim responsibility unless caused by
direct negligence.
Insurance: It is usual to take out insurance to
cover for loss or damage during transportation, handling and
storage. Establish the level of cover and the value of the goods
covered.
Storage: An auctioneer usually charges storage
fees for unsold lots if they are not collected within an agreed
period or submitted for the next sale. See their Terms and
Conditions.
Lot Fee: Sometimes there is a small fee charged
per lot, whether it sells or not.
Reserve: The agreed price, below which the
auctioneer will not sell the lot. Some vendors agree to sell at
"the auctioneer's discretion" when it is difficult to set a
reserve. The risk for the vendor is that the lot may sell below its
true market value.
Other Charges: There may also be charges for
photographs in the catalogue and a percentage charge for items
withdrawn from the sale or left unsold. Be sure to ask before the
sale for an illustration of all the possible charges so they do not
come as a surprise afterwards.
Vendors' Commission: The auctioneer charges a
sales fee on each lot sold. This is agreed prior to sale: it can
pay to shop around.
VAT: All charges are usually subject to
VAT.
Payment: The auctioneer usually forwards
payment, minus fees, within 30 days of the sale.
Advertising: Publicity is the
lifeblood of an auction. It is one of the responsibilities of an
auctioneer to advertise and market a sale properly and make
personal contact with potential buyers when important pieces come
up.
In many ways viewing is the most important part of the auction
process. This is the time to discover faults, not after the
sale.
Typically an auction will be open to public view for two or
three days prior to sale day, and probably for a short time before
the sale itself.
It can take some time to view a large sale and the morning of
the auction is not always the most convenient time to be looking at
the backs of big bookcases or going through an entire case of
jewellery.
In some circumstances an auctioneer may offer private viewing by
appointment.
Lots are frequently damaged by clumsy handling so ask a porter
to move heavy items for you or open delicate pieces.
Saleroom regulars know that the porter is an important 'behind
the scenes' person. As the name implies, it is the porter who is
responsible for making sure that the goods are in the right place
at the right time. But he or she must also see delicate pieces
through the hazardous process of viewing, display lots as they are
sold and, in some instances, execute bids on behalf of clients.
Inspection:
When making a bid, it is assumed that you have satisfied
yourself in advance as to the condition and description of the lot
and the conditions of sale.
The former is usually done through attending the viewing, the
latter through obtaining a copy of the catalogue or a print-out of
the sale conditions. Remember the final check.
While most auctioneers will take a reasonable view if goods turn
out not to be as described, the standard conditions of sale assume
that the buyer has inspected the lot and is happy with it.
Condition Reports:
Most auctioneers provide a condition report for potential buyers
unable to attend the saleroom.
This should give details of wear, damage and restoration but a
written report is no substitute for viewing the object in
person.
There are a number of ways of bidding at auction: in person, via
the auctioneers, over the telephone, or, in many cases now, over
the internet.
In the room:
The traditional way is to bid in person in the saleroom.
It is usually sufficient to raise a hand to enter the bidding,
and the auctioneer will accept a nod of the head to confirm further
bids, but he/she will typically ask for a paddle number before the
sale is confirmed so it is advisable to register as a bidder before
the sale.
Bidders at the sale are best placed to gauge the mood of the
room and assess the competition.
Telephone bidding:
Having viewed the sale some people, including professional
dealers, elect to make their bids by telephone. This ensures
anonymity and allows them to conduct other business on the same
day.
If you book a telephone bid, a member of the saleroom staff will
contact you a few lots before the item is due to come up. Make sure
you are available to take the call. Once bidding begins on the lot
they will relay what is happening in the room and pass your bids to
the auctioneer.
It may not be possible to bid by telephone on low-value
items.
Commission bids:
A more common form of absentee bidding is to leave a commission
bid. This is also known as leaving a bid with the auctioneer, or
leaving a bid 'on the book'.
To register a commission bid you will need to fill in a form
indicating the lots you are interested in and the highest price you
are prepared to pay.
During the sale the auctioneer will execute commission bids
against those in the room and on the telephone.
Internet bidding:
Increasingly auctioneers are offering yet another way to bid,
and one which is becoming more popular as buyers come to appreciate
its appeal.
Online bidding allows you to follow an auction as it is
happening via the internet and bid in real time against those in
the room or on the telephone. To participate in this way you need
to register your details before the sale just as you would at the
saleroom.
Typically, the lot being sold will be shown on screen with the
level of bidding displayed alongside. For the internet bidder it is
then simply a matter of clicking on the mouse to register a
bid.
Auctioneers will usually charge a fee for using this service
(for example, 3% of the hammer price) so check before bidding.
Catalogue Description:
Not every sale is catalogued, but for those that are, each lot
should be sold as catalogued. If an auctioneer is uncertain as to
the exact nature or date of a lot, they may give a more general
description.
There is an established terminology in the cataloguing of art
and antiques. For example:
- 'Peter Paul Rubens 1577-1640'
In the auctioneer's opinion, a work by the artist.
- 'Attributed to Peter Paul Rubens 1577-1640'
In the auctioneer's opinion, probably a work by the artist.
- 'Circle of Peter Paul Rubens 1577-1640'
In the auctioneer's opinion, a work by an unidentified artist
working in the artist's style and during the period of the artist's
life.
- 'Follower of Peter Paul Rubens 1577-1640'
In the auctioneer's opinion, a work by an unidentified artist
working in the artist's style, contemporary or near
contemporary.
- 'School of Peter Paul Rubens, 17th century'
In the auctioneer's opinion, a work executed at that time and in
the style associated with that artist.
- 'Flemish School, 17th century'
In the auctioneer's opinion, a work executed at that time and in
the style associated with that location.
'Manner of Peter Paul Rubens'
In the auctioneer's opinion, a work by an unidentified artist
working in the artist's style but at a later date, although not of
recent execution.
- 'Style of Peter Paul Rubens'
In the auctioneer's opinion, a work by an unidentified artist
working in the artist's style and of recent execution.
- 'After Peter Paul Rubens 1577-1640'
In the auctioneer's opinion, a copy by an unidentified artist of
a named work by the artist.
A work catalogued with accompanying dates e.g. 1577-1640 relates
to the identification of the particular artist and is not proof of
attribution or indicative of authenticity.
The term signed and/or date and/or inscribed means that, in the
auctioneer's opinion, the signature and/or date and/or inscription
are those of the artist.
The term bears signature and/or date and/ or inscription means
that in the auctioneer's opinion that artist's name and/or date
and/or inscription have been added by another hand.
The Reserve:
This is the lowest price at which the vendor will sell a lot and
is usually not disclosed to bidders. If the reserve is not reached,
the lot is "bought in" (withdrawn from sale) though this may not be
obvious to bidders.
It may be possible to buy the lot by negotiation after the sale.
By law the reserve must not be higher than the low estimate
Estimate:
The price or range of prices printed alongside the catalogue
description at which the auctioneer believes the lot might sell.
Auctioneers sometimes give artificially low estimates to encourage
bidding.
There are no guarantees that the lot will achieve the estimate,
but it could also sell way above it.
Registering:
Anyone intending to bid needs to register with the auctioneers
before the sale. In return for basic information (typically contact
details and a credit or debit card number) the saleroom office will
issue a bidding paddle with a number.
Bidding:
The unique bidding number not only makes it easier to administer
the sale, it helps you to bid clearly. Despite the myths, raised
eyebrows, scratched noses and pulled ears are not part of the
bidding process.
The Sale:
The lot is sold when the hammer falls, but under certain
circumstances an auctioneer may re-open the bidding.
Property and Risk:
Full and clear title will not usually pass to the buyer until
the lot has been paid for, but each lot is usually at the risk of
the buyer once the hammer has fallen. Packing is not always
available, so make sure you are prepared.
Payment:
Goods will only be released after arrangements for payment have
been made. Check beforehand which forms of payment are
accepted.
Buyer's Premium:
A charge made by the auctioneer to the buyer as a percentage of
the hammer price.
This fee is usually subject to VAT.
Purchase Price:
The hammer price and buyer's premium plus VAT on the
premium.
The buyer should establish the rate of buyer's premium and other
add-on costs such as VAT and factor them into prices prior to
bidding. VAT is only payable on the hammer price if goods are being
sold on behalf of someone registered for VAT in their role as a
vendor.
Lots consigned from outside the European Union may also incur
additional charges: look out for symbols denoting this in the
cataloguing.
Storage and Insurance:
An auctioneer will usually make it clear how soon after a sale a
lot must be collected and what the storage fees might be for any
delay.
Buyers who wish to collect purchases some time after the sale
might consider taking out insurance for them while they are in
storage. Failure to collect within the agreed deadline may lead to
purchases being resold by the auctioneer.
Delivery:
If an auctioneer offers delivery, buyers will need to factor in
the cost if they do not want to remove purchases themselves.
Increasingly, as many items are bought by buyers from far
afield, auctioneers will be happy to arrange packaging and mailing
for a fee.
Some will offer this service themselves or use a specialist
shipper.
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