auction strategys, whats your secrets?

with spring around the corner, and the auctions starting next week, thought i"d pick yer brains and see what kind of tips everybody has for buying at auction. you prefer, estate or consignment? bidding strategys ect. i like to go the day before for the viewing, and see the machinery and stuff start and run. make a list of things i"m interested in, serial numbers if tractors ect, research that nite what its worth then figure what its worth to me, and what would be a fair price to pay.

Set a price before you go so you dont get auction fever, its not a competition like some think. I won,t go over my max by even 10 bucks on 5000. You never get buyers remorse that way.

Get there early,thoughly look at anything you want to buy,pay attention to what is going on,listen to EXACTLY what the auctioneer says such as buy 1 take as many as you want etc.Don't worry about who else is bidding and stop bidding when you have reached your limit.And remember most auctions are 'as is' which means you have to factor in unseen defects in what you pay for an item.I go to 40 or 50 auctions a year and most people that get crossed up at an auction is by not paying attention to what is going on.

I prefer estate auctions because normally you can talk to people and find out how the previous owner treated the equipment. Granted there is less selection with an estate auction versus a consignment sale, but consignment sales tend to have a lot more junk, at least in my area. Some of them even quit holding them because of how much junk they had.

If I want something , I tend to jump in at the end rather than at the opening bid. I also like to get in position to be able to raise my bids directly with the auctioneer.

My secret is to talk with people. Poke around. Seen the various and varriety of junk people have collected in their lifetime. Most of all have fun. An auction is intertainment for me their is nothing there I cannot live without. If I see a particular bargin I'll snatch it up. If not ehhh. No big deal.

I also usually wait till the bidding slows down before getting in. This way if it goes above my price I just keep quite.

I also will stick it two someone who is bidding the price up on me. I know of three specific occasions where this has happened and the buyer was mad I did not go again because he was sure I would.

Most of all I have fun.

Jeff

I go the day before and take my time looking around. Not just for what I am interested in. But for those that work it. I call some of them "back bidders", For it pays to know who is bidding at times against you. These are those that work for the action it self. They will bid you and bid you at times and take what is salen to a very high price!
Was at one just recently at an auction and watched their worker bidding and bidding. Now sometimes a worker will start a bid out and maybe make a bid again. But never seen one do as much bidding on one item and keep bidding.
My friend was there and wanting this band saw. So the guy got of the bench where he sat with others who came to buy. Walked up behind my friend and just kept it up.
Now my friend is not what you would call real smart and kind of old in age. So I try to look out for him at times.
After the bid was getting to high. I turned around to the guy and gave him one of them "don't you dare bid again" lol He looked at me and turned around and moved fast to another area and did not bid no more.
I think my friend bidded about $50.00 to much on it. But he wanted it!
Anyway.. look at the workers and listen to what is being said. Then the next day come back and look a bit early. Case their back bidder is around then and you know who works for the auction.
I never stand on top of things I want to buy. For I can not see who is bidding against me. If you need to relook at the item. Move up close and then walk away so you can see just who is bidding at time you are.

I'll start with a list of items I'm looking for and watch the auction ads for those items. I'll try find the cuurent price and new price of the items. Once at the auction I'll ascess the condition and set my price that I'll go to. I keep my mouth shut unless nobody is bidding but if there is no bid I'll lowball the hell out of it. I usually give myself a 10% margin to go over but that just to keep from kicking myself later with the shouldof's wouldof's.

I agree with about all of you except the waiting till last. I wait a bit to see how it is going then get in. Could be some one else that will stay out after you join the biding. Stay close. Last tractor I bought, I got burned for 50 dollars when the "assistants" had two bidders on. When I bid, I bid regular and when I quit, I quit.

I look at auctions as entertainment and if I find a bargain,so be it. I only go to one consignment sale a year Western Imp's in Grand Junction the first weekend in March and seldom buy anything just go to vist. I like retirement sales best. Northwestern Co is sparsely inhabited and we know most everyone in the ranching business so traveling a 100 miles is nothing to go a auction.

1)Get there early,

2) Dont block traffic by parking your already garage-sale overloaded Buick in an obviously key traffic area,

3) Dont linger over what you want, know what you are bidding on,and keep track of what order stuff will be offered up for bids
and most important,

4) set a ironclad limit on your spending and keep track of your purchases!
I"ve been to quite a few large, sprawling farm auctions and it seems that toward the end of the sale the auctioneer always has to stop the fun to relay a couple of messages that some bidder went to retrieve his far flung goodies and reports that someone else has "mistakenly" made off with his bushel basket of used canning jar gaskets and his busted crate of broken pipe wrenches.
Sadly, not just buyers show up at auctions.
And one more thing- NEVER HESITATE DURING BIDDING! if I want something, I bid until I get it , or it surpasses my internal limit. When I"m duelling it out with another guy and he slows down and appears to be hesitating, I know he"s tipped his hand and is about to bail out.
On the other hand, I"ve also faked it (yes, its not just for women anymore!) and appeared to drop out when you have more than two other rubes bidding on something you want. Let them duke it out until there is just one guy left, then just before the hammer falls, jump back in and bid strong! The almost winner will get so mad/dicouraged that many times he will just curse you and walk away- success!
Oh, and if there are alot of cheap chairs being sold, buy one and get comfortable in the shade with your own little lunchbox cooler-where the auctioneer or his bid spotters can see you- and enjoy the show!

If I want something real bad, I wait for the bidding to get started good, then turn my pet skunk loose. Usually after he makes about two rounds, I am the only one left bidding!

Gene

estate or consignment?

Estate auctions you get a feel for the care the machinery got - just look at the other equipment that is selling and the buildings on location. Also you know the reason they are selling - either death or retirement. At a consignment auction all you know is that the equipment is there - you don't know why (was it a lemon, decided to sell instead of make a big repair, etc..).



bidding strategys:

Know what you want to bid and stop, I've seen a lot of people bid because they could afford it - not because their bid had anything to do with the value of what was being sold.

Bid slow if you don't know if you're up against a real bidder or a schill - even if you're well below your set price. The fake bidders tend to drop out pretty fast if they think their next bid means they own it.

If you drop out of the bidding and the auctioneer suddenly doesn't have another bidder NEVER LET THEM BACK UP TO YOUR BID!!!! I've seen it several times where the helpers suddenly don't know "who had the bid" and try to take the last real bid you gave - don't let them do it. More likely than not your last several bids were against someone that doesn't exist or an owner or a auctioneer employee. Make them start over - when you do that they generally cut the crap because they know you caught them.

Pay close attention to announcements made before bidding starts - on wagon items you need to know its by the peice and pick, by the lot, by the peice and take them all (I hate that).

On larger items know what is selling - if you don't know ask - several other bidders might be wondering the same thing - again pay attention don't be askign questions on something that was just announced 30 seconds earlier. I don't know how many times I've seen guys mad because they bought a tractor and THOUGHT the attached loader or pile of weights or the chains or the duals went with the tractor but were actually going to be sold seperately.

My strategy is to show up just as the sale is starting,spend the whole sale talking so I miss almost everything,then if I do buy anything,it's on impulse because it sounds like it's going cheap,and I end up with a piece of junk that I didn't look over. Pretty much sum up everybody elses strategy?

I'll usually set a limit, and go over that limit by one bid in case someone else set the same limit for themselves.

One time I was bidding on a combine, and there was some smart alec kid screwing around, bidding a dollar at a time. I don't know why the auctioneer didn't shut him off. I think he wanted irritate the other bidders so they'd drop out. I ran it up to my limit and stuck him with it.

There's a large annual two day consignment auction near here that finally set the rule that if you brought something that didn't sell, you had to come and get it again. Too many people were hauling all of their junk in, and if it brought a few bucks, fine. If it didn't sell, they just left it.

I like to look over the things I`m interested in before hand if possible. Set a price in my head as to what its worth or what I can afford and stick with it..

If I`m bidding on something, say a tractor or piece of machinery, I bid slow. If there`s more than one other bidder and they run over the top of me, fine. Once the bidding slows down, I make the auctioneer work the bid out of me. When the price has gotten over what I want to pay, I quit.

The way I see it is once you get thru the low bidders, the auctioneer really wants two people he can work. The faster you send the bid back to the other bidder, the less time you give him to think and it becomes more of a competion to see who can win. Auctioneers know this, and that`s why they want bids to come as fast as they can..

Think about it, when`s the last time you ever heard an auctioneer say "are you sure you want to bid on this? Take your time and think about what it`s really worth."

Never bid the same way twice especially if you will be bidding on more than one item.Other buyers will pick up on your bidding process. Maybe one time, start out real slow and all of a sudden bid like crazy.Then maybe slow down again or ?? That will keep the auctioneer on his toes too and he be less likely to pull bids out of the air. Once I know he is doing that, I never let on , just bid VERY slowly and make sure he knows that you know what the bid is.Auctioneers love what they call "ole mo" or momentum. Learn to take the emotion out of your bidding.

On box lots of junk I will often see one thing I want. If the bid goes over what I'm willing to pay I'll just drop out. Afterwards I'll go over to the winning bidder and ask if he's interested in selling that one item. More than once I've found that he wanted the Allis water pump and is glad to sell the Ford carb. The inverse of that is true too. Ask the other bidder/s what he wanted and offer to sell him the Allis pump.
My best auction technique though is to stay away from them completely. Save more money that way.

Anything I plan on bidding on, I set a limit before the sale starts. I never start the bidding. I"ll lay off until bidding slows down. No sense in adding to the frenzy. Once I get in, I try not to appear as if though I"ll keep bidding no matter what. Like each bid is my last one.

If the item is selling for more than my limit, let it go. If you go to enough sales, you"ll have several opportunities to buy just about anything. This isn"t "the one and only".

Watch the auctioneer and his helpers. Watch who"s bidding and who"s BUYING. Often auctioneers will have shill bidders or the ol" "phantom bidder". (Not really anyone bidding)

I stick to my budget. Decide what you can pay, and go no more. Never more than 50% of new on most things.

Buy low, Sell high!!

I'm not saying this is correct or even smart, but seems to work pretty good for me. We call it shot guning.

My thinking is if a tractor is worth $3,000.00, what makes me think my $300.00 bid is going to buy it? Once they start at cry for $4,000.00 and back down to $200.00 I holler $2000.00. It would go to $3,000.00...but after my $2,000.00 bid, the rest seem to think I'm never going to stop, so why compete.

This does not work every time, but auctioneers have comented to me after the sale that I must have scared the crap out of everyone, because it worked.

Anyone ever been to a backwards sale? I never have, but a friend who is a auctioneer has. Say the tractor is worth $3,000.00. They cry starting at $10,000.00 way above the price it is worth. They then cry down the ladder at smaller intervals till the first person bids---Item sold (only 1 bid per item). You therefore figure your max. bid, and when it gets there, you best holler, you don't get to try again.

We both at first thought it was very stupid, but after thinking it over, well maybe they get more that way than the way we usualy bid. don't know. He said it was a car sale that did it that way.

By the way, I have auctions in my blood, and help different auctioneers. Anyone think when they go to a auction, they are going to steal a tractor for a million dollars less than it is worth? Despite what you tell your wife and buddies about your great deal, almost every major item has a reserve in it.

I'm into social behavior also, (you folks test the waters by the way) just kiddin...I always try to figure out the ring man---auctioneer language...yea it's always there, just have to figure it out is all.

Here are some I have found....Ring man hollern yep yep yep. with a open hand...now he closes his fist as he hollers----that is when the first bid was actualy made by the crowd.

Yep, yep, yep,---then all of the sudden it is yea yea, or yes yes yes. The signal has been made.

In some cases the ringman is standing close enough to the auctioneer on the platform, often a sideways, toe tap on the old cowboy boot is the signal.

At a truck load tool auction with a local auctioneer crying the sale? Lot numbers are not in any order? Well lot number 100 means the item must bring $200.00 or they have only one in the truck, if it brings more...anybody else want one at that price? is the next language you will hear.

Some times the magic number is 1/2 the lot number also.

The ring man turning to briefly make eye contact with the auctioneer is also another one that is used. Maybe head tilting is another.

There are others, like a tap on the floor with their cane, switching hands with the cane...and alot more that I can't think of at the moment.

You can usualy pick up on this by watching for repeated movment by the ring man. Often a no sale item is sold to a even number, or should I say a easy number to remember. Or if you know a brother in law of the person having the sale, study them (for the use of his number), some times a brother in law ..will be looking down at the ground when his bid, and then his number is given....usualy this follows alot of coaxing, or stuck on some numbers for a considerable time.

Probably the most honest sale is a estate auction, where the family just wants it over and done with. If their is one major high end item, that might be a no sale.

Avoid a auctioneer that sells farm machinery, any good deals often go his way regardless of the numerous numbers you hear getting the bids. He is going to get the good deal, and often has a pretty good idea where that machine is probably going too end up at.


In any small minded way of looking at a auction, do ya realy think a $10,000.00 tractor is going home with you for that $100.00 bill ya have in your bilfold? There are bargins out there, but there usualy is some sort of a saftey net in place.

I would certianly like to know of any other language between the ring man and the auctioneer. I feel pretty smart when I figure it out myself. Most of these that I have stated arn't actualy my observation, just a secrets auctioneers have told me.

I'm a bad guy, but enjoy it when a auctioneer gets himself in a public bind by crying air bids thinking something is going to bring lots more. That is usualy obveous when they stop the sale several times to tell everyone what a great deal it is---(usualy means he is in trouble), then once in a while they had a higher bid...yea right!, but then start crying alot lower number.

Auctions are still alot of fun if ya have no life like me!

I usually stay away from auctions. Most times things sell way higher then what you could ever hope to sell something of yours just like it. Better to buy from an individual where you can take the time to check it over proper. If it is something you just have to have and can't find anywhere else then set your limit and bid away and stop at your limit.

First I listen to the auctioneer, some auctioneers sell to fast some linger on and wait maybe 10 seconds before selling, others sell the minute the next to last bidder quits. Know the auctioneers rythm, listen closely, in other words pay attention, and one other thing do not critize the auctioneer from where he can hear you..he might not ever take your bid again..always bid to the auctioneer that is crying, your bid will be before the other bidder bidding at the same time as you. and enjoy.

I generally only go to two particular consignment auctions, at which they have several sales a year. Strategy is to look things over pretty well, decide what I want to buy and the price I'm willing to pay, then get confused and buy something I hadn't looked over, only to later find the oil is the same color (and consistency) as a vanilla latte.

Hands in pockets and don't make eye contact.

Being the 2nd high bidder saves lots of money.

Joking aside, come over the top with a bid, say the bid is $100 and would still be a good deal at $200, bid $200 instead of whatever increment he's trying to get. Chances are you'll get it while the other bidders are still trying to figure if they want it that bad.

Its something like playing liars poker.

If its not an absolute acution with no buyers premium I stay home.

If its not an absolute acution with no buyers premium I stay home.

Never bet on another man's game. If you buy something at an auction, you gave more for it than anyone else was willing to pay.............

I like going to absolute farm auctions, mostly for tools equipment and tractors. If I'm at a Dutch auction, I stay still and listen. (move, and you might be mistaken for a bidder!)
My uncle told me of an auction recently went to, to check out a Farmall MTA, and a Super C. The M went for $6800 and the C went for $3600
They were nice shape and clean, but way too much money for me. Glad I didn't go, cause all I would have gotten at that auction was COLD!

The only things that work for me is if I dont go.
I always seem to spend more money than I intended.
usually because I purchased a few things off the hay racks that threw my budget all to heck.
It always seems that the things I dont want are always going cheap. Wile the stuff I am there for go nuts.
Best thing to do is figure out in advance what you are willing to pay for a item. Then if it goes higher. Walk away.
Watch out for the impulse buys. I have a 966 in the shed now because of that. It was a great deal but not a great deal I needed at the time.
Completely screwed up my thrower rack plans.

Ohh I guess its not just me then.

Good advice!!

I think Bilo Selhi used to be the Financial Adviser for the Car Talk radio show.

I generally only go to a couple consignment auctions a year. I like to get there early and look around; check over what I'm interested in, then put a value on it that I'm willing to pay.
When it gets around to bidding, I never make the first bid unless/until they ask for an offer. If there's two or more others duking it out, I let them go. I don't need to add to the frenzy. When they're done, and IF it's still in my price range I'll bid just before they yell sold.
I generally bid on the slower side or erratically.
The sales I go to allow you to bid on what you're selling, so you never know when you're bidding against the owner or his friend. It's best to make them wonder just when they might be taking the thing home...
When it gets to my limit, I'll probably turn my back to walk, then bid again just before they yell sold. Sometimes someone else will jump in before me. Sometimes the other guy will bid again. At that point, I'm done.
I don't really get involved with running items up beyond what I will pay, but I have been run myself before, and KNEW I was run, and I had no hesitation about letting the big dog win. There was some laughter around that day...

Rod

A lot depends on the auction company. I usually won't be the first bidder unless the price goes real low. Sometimes though, if you want to scare other bidders, you can jump in first before the price comes way down. Say something is worth at least $3000 that you want. The auctioneer starts at $5000 and progressively comes down to get bidding started. Before it goes to $500, be the first bid at $1500 or $2000. It can scare some people away. Also if you want something, especially if there is more than one of the same thing, make sure to at least get a bid in. If the winning bidder doesn't want all of them, the other bidders get first dibs, starting with the second place bidder. I've seen multiple items where the first one sells for less than the second and third ones. I've been to several Ritchie Bros. auctions and they run a tight ship. You hesitate and you lose! If a couple of people are bidding back and forth on an item and it is close to selling, they won't let someone else just jump in. This is especially true if there is some confusion as to who has the bid and what it is. The most important thing to remember at an auction is to be prepared to walk away if the price is higher than you want to pay. Going up a little bit is OK for something you really need but I've seen stuff sell for more than new price and it's used. I don't think it matters much how you actually bid. A lot of people try to psych you out but if you stick to what you're willing to pay, they have no advantage. Dave

First and most important,,, know the difference between "want" and "need". Is it something you really "need" or is it just something you "want". Remember, you can pay a little more for something you "need" than for something you just "want".

Set a limit and stick to it..

If an auctioneer is taking rafter bids it's best to leave and stay away from his auctions. If you're a wise bidder, you can bid on things and dump them in his lap. That will really pi$$ him off, but he will soon find out you know what he's up to.

Pay attention!!!!

I've gotten a lot of good deals at auctions, but simply because it's something no one else wanted.

Have fun watching other people waste their money.