Consignment auctions are great places to get goods and products below market value. At these events owners of goods, products, and merchandise assign a 3rd party the right to sell their goods on their behalf. These events typically run like standard auctions, but there are some exceptions. In this article I will discuss where to find these events, how they work, and share my experience with the consignment auctions near me.
Map of Consignment Auctions Near Me
For “consignment auctions near me”, see the map below…
What is a Consignment Auction?
A consignment auction is when someone hands their goods to the third party, usually the auction house, but retains ownership of the goods until they are sold. This can be done for both auction houses and in-store sales.
The auction house or auction agent then sells the goods on behalf of the owner, as per their instructions. The original owner of the goods is known as a consignee and the agent selling is the consigner. The terms of the agreement between the two parties should be laid out in the consignment contract agreement prior to them being put up for sale in the auction.
Of course, the auction house or agent does not sell your items on your behalf for free. They will charge a fee, whether that is a fixed fee or a percentage of the sale. These discussions should happen upfront once before finalizing any agreements.
There are many things that have to be discussed prior to consigning your goods, such as:
- Where the products will be stored before they are put up for auction
- Who is responsible for maintenance, repair, and cleaning, if required
- Who is responsible for cataloging and writing the descriptions for each item in the consignment
- The photography of each lot
The consignment auctions near me will do this as part of their services, but it is important to check beforehand to avoid any unexpected fees.
How Do The Consignment Auctions Near Me Work?
If you are attending a consignment auction as a buyer, the process is very much the same as any other auction.
These auctions feature a preview period where you can view and inspect the items. This is the time to decide if you are interested in bidding on anything. Many consignment auctions will feature a catalog or a webpage so you can view photos and read descriptions of the items.
If you are going to bid, you need to register as a bidder first. This requires a form of identification, and paying a refundable bid deposit. Once you have registered you eligible to bid. Any bod you make is a legally binding agreement. So if you bid and win, be prepared to pay.
The auction will be begin with an auctioneer introducing the items and reading a description. You should stand in a place the the auctioneer can see you. You can bid by raising your hand, paddle, or card to make a bid. At most auctions the highest bidder wins and the auctioneer drops the hammer to end the bidding.
Where Do the Auction Items Come From?
In a consignment auction, the items can come from just about anywhere. In many cases, it is people looking to sell a large number of goods, such as from clearing a house or stock from a closed down store. You can also pick up used cars, tractors, and other vehicles, furniture, jewelry, tools, collectable toys, and valuables such as art in a consignment auction.
Many banks and financial institutions that have carried out home or shop repossessions will sell the goods that they have taken ownership of in a consignment auction to cover their costs. In most cases, at a consignment auction, the consignee only pays fees once the items have been sold, which means there is less financial risk involved.
Does the Original Owner Have Any Legal Claim to the Property?
At a consignment auction, the original owner has a complete legal claim over the goods until they have been sold. Of course, it is important that the person consigning the items have legal ownership of the goods and they have the authority to sell them. This is especially tricky when it comes to the auction of inherited property and estates as unless there is a transparent paper trail, it can be difficult to prove ownership.
The same goes for collectible items which may have been borrowed or even stolen. If you are unsure of the origins of an item that you are handing over for a consignment auction, be sure to tell the auction house so that they can advise you on the best course of action.
Where to Find a Consignment Auctions Near Me
Your first port of call should be the internet. Look on search engines for ‘consignment auctions near me’ if you have location settings turned on, or manually type in the area that you are looking for. This should bring up a list of auction houses that you can get in touch with whether you are looking to sell your items at a consignment auction or buy.
Google Events is another great way to find a consignment auction near to you, as is looking on Facebook events. These will bring up one-off pop-up style events that may not have their own website.
You can also get in touch with local repossession agencies and financial institutions. They may be able to tell you where they send all of their products for resale and auction. You can find repo auctions here.
Consignment Auctions Near Me – Wrap Up
These events offer a great opportunity to get items well below value. The types of items up for auction, will vary. Many of these style of events though have a theme like a consignment jewelry auction for example. For any item you wish to bid on it is critical to inspect and do your research before you bid. The better prepared you are and knowing the market is the best play for a winning strategy. Winning is sometimes, not over paying and letting someone else over pay. This is what I have learned from the consignment auctions near me.