FAQ's about Traditional Auctions

 

Traditional Auctions

What is a Live Only Auction?
How does a live auction work?

How do I register to bid in a Live Auction?

Do I have to register to bid for every Live Auction?
How do I sell my items at auction?
What is the history of auctions?
Should I sell my property through internet auction or traditional "live" auction?
 

Auction Product

Where does the product you auction come from?

Is there any guarantee with the auction product?

If I buy a vehicle will there be a title with the vehicle?

 

Auction Terminology

Terms and definitions for commonly used auction words. 

Appraisals

What is an appraisal?
Why do I need an appraisal?
Will you testify in court if I need an appraisal defended?
Auction Systems Auctioneers & Appraisers
How do I order an appraisal?

Q: What is a Live Only Auction?

A: In a Live Only Auction, bids are only accepted from the auction floor from bidders who are physically present at the auction.  There is no online catalog for the auction.  Auction Systems conducts very few of these type of auctions.

Q: How does a live auction work?

• Bidders must receive bidder cards from a cashier in order to make a bid on any item. In most cases a refundable cash deposit is required to receive a card.   
• When the auction is about to begin, the auctioneer announces the terms of the sale so all bidders are aware of their responsibilities in bidding. 
• When a bidder is ready to make a bid, they simply raise their hand or their bidder card and the auctioneer or ringmen acknowledges the bid. 
• Phone bids are recognized by the phone person and these bids are considered the same as if the bidder were present.   
• The ringman assists the auctioneer in spotting bids, holding up merchandise so the bidders can see the item for bid and marking the item with the bidder's number once it has been sold. Upon successful winning of the bid, the auctioneer tells the clerk what the bidder paid for the item and their bidder number.
• This information is recorded and given to the cashier who tabulates the bidder's purchases for check out from the sale.  
• The bidder pays by either cash or cashier's check.  In most cases, the bidder must remove their property from the auction location immediately following the sale.  
• For more information on buying at auction, click here!

Q: How do I register to bid in a Live Auction?

A: If you are a registered bidder online, and you want to attend a live auction stop by the cashier, produce the credit card that you registered with online and you will be given a live bidding card.  If you aren’t registered online, you only need stop by the cashier and complete a registration form and leave a deposit of $100 or a major credit card to be held until you check-out from the auction.

Q: Do I have to register to bid for every Live Auction I want to bid in?

A: Not if you are a registered bidder online just stop by the cashier, produce the credit card that you registered with online and you will be given a live bidding card.  If you aren’t registered online, you only need stop by the cashier and complete a registration form and leave a deposit of $100 or a major credit card to be held until you check-out from the auction.

 Q: How do I sell my items at auction?

A: There are several different types of auctions that we offer in order to properly sell your merchandise for the highest dollar.  For more information on selling at auction, click here , call us at 800-801-8880 or  contact us.   We are ready to help you sell your merchandise today!  

Q: What is the History of Auctions?

    Some scholars argue that the very first auction occurred when Joseph of the Many-Colored Coat was sold into slavery by his brothers, however the first generally accepted auctions occurred in Babylon in about 500 B.C.. In those times an auction was held annually, and women were sold on condition that they be married. Beautiful maidens engendered lively bidding, but less comely women had to pay a dowry to be accepted and thus the price could be negative. 
    Ancient Romans also auctioned goods. Those auctions were held in the "atrium auctionarium", and the trading was carried out by four functionaries: the dominus, on whose behalf the property was sold; the argentarius, who organized, regulated, and possibly financed the sale; the praeco, who advertised and promoted the auction as well as conducted the bidding; and the emptor, the highest bidder (recall caveat emptor, let the buyer beware.). It is not known whether the auctions were ascending or descending, but ascending is presumed since auctus means increase. Bidders normally did not call out openly, but rather winked or waved to indicate a bid.
    After a military victory a Roman soldier would plant his spear in the ground to mark the location of his spoils. Later he would put these goods up for sale at auctions. The now-rare term, subhastation, meaning a sale by auction, came from the Latin, subhastare (to sell by public auction) which in turn comes from sub (under) and hasta (spear). Subhastare--under the spear. Roman business agents were said to have accompanied warriors into battle to facilitate the expected sales. The Romans also used the auction to liquidate property. Marcus Aurelius is said to have auctioned off prized heirlooms and furniture (that auction lasted over two months).
    One of the most astonishing auctions in history occurred in the year 193 A.D. when no less than the entire Roman Empire was tossed on the block by the Praetorian Guard. First they killed Pertinax, the emperor, and then they announced that the highest bidder could claim the Empire. Didius Julianus outbid all comers and became the emperor for the price of 6,250 drachmas per Guard. Unfortunately, he was beheaded a mere two months later when Septimus Severus conquered Rome. Julianus may have been the first victim of winner's curse. Later, the Empire was restored to the people.
    Less is understood about the auction as used in other civilizations. It is known that the auction was one of the four money-raising institutions (the others being pawnshops, mutual financing associations, and lotteries) used by Buddhist temples and monasteries, and as early as the seventh century, the possessions of deceased monks were sold on the block. The earliest reference to the auction as practiced in Great Britain is from an entry in the 1595 Oxford English Dictionary, but nothing more is known until the final years of the seventeenth century. At that time auctions were held in taverns and coffeehouses to sell art. It is likely that such auctions were held daily and that catalogs, announcing the availability of certain merchandise, were printed. The firm of Sotheby's was established in 1744, and Christie's was founded in 1766.One seventeenth century catalog describes a process called "mining", which was similar to the Dutch auction because the auctioneer started the bidding high and worked down. A lot was claimed when someone yelled, "Mine". There was an interesting twist though. After the bid descended to the point where a bidder claimed an item, the bidding actually resumed but this time in an ascending format. So the bids went down and then back up again. 
    The auction migrated to America where it was used to liquidate goods and to sell unsold goods at the end of a season. Domestic animals have been sold this way as have tobacco, natural resources, horses, debt, credit, and of course slaves.

Q: Should I sell my property through internet auction or traditional "live" auction?  

It depends on the type of product that you are selling.  In some cases where you have a large amount of product to sell that would "flood" the market in your area - it is best to sell your items on the Internet. In other cases, where your products must be seen to be appreciated, a traditional auction fits your needs. There are times however when both marketing methods will meet your needs.  Please allow an Auction Systems' representative assist you in making the decision about how best to sell your merchandise.

Q: Where does the product you auction come from?

A: Auction Systems has many varied selling clients including police departments, state government agencies, federal agencies, corporations, bankruptcy trustees, lawyers, estate executors and individuals.  These groups give us excess or unneeded assets to dispose of at auction.

Q: Is there any guarantee with the auction product?

A: No, there is no guarantee as all items are sold “as-is” and “where-is”.  Items for auction are not tested, so this is a buyer beware situation.  We do offer live previews where you can come in and inspect the product as well as test it yourself.  In the event that a description of the product is incorrect, we will give you a refund of your purchase price.

Q: If I buy a vehicle will there be a title with the vehicle?

A: Yes, unless the description says there is not a title with the vehicle.  You will be given a title when you pick up the vehicle?

Auction Terminology

• Absolute Auction: all items in the auction will be sold to the highest bidder, regardless of the bid.  There is no reserve or minimum on the item for bid.  
• Auction With Reserve:  some or all items in the auction have a minimum bid that must be reached by the bidder before the auctioneer can sell the item to the bidder.  This type of auction is reserved mainly for property with a high value such as construction equipment, homes or commercial real estate.   
• "As-Is" or "Where-Is": there is no warranty on the merchandise and the bidder is responsible for removal from the auction location.  This means that the bidder must rely on their own information to make bidding decisions.  The bidder is responsible to inspect and move the merchandise.   
• Choice: auctioneers use this buying option when more than one product is being offered for sale.  The bidder may bid for an individual item, and the winning bidder may take as many of the set as they wish.  If the bidder does not want them all, then they are for sale at the same price to any bidder.  
• All For One Money: multiple items are being offered for sale and what you bid is one price for all of the items.  Bids for individual items are not accepted. 
• So Much Each & All Go: multiple items are being offered for sale and the bidder's price is per item, however; the bidder must take all the items. 
• Sold:  when the auctioneer says the word "sold" or the gavel falls after the bidding has ceased, the item is sold as the auctioneer directs to the clerk. The bidding cannot e reopened after the word "sold" is said.  
• Final Word: the auctioneer has the final word in all bidding situations.  If the ringman took your bid and the auctioneer did not see the bid, the item is sold as the auctioneer directs.    The staff at Auction Systems is happy to provide you with further information and to answer any of your questions about the auction process.  

Q: What is an appraisal?

An appraisal is an educated opinion, using sound research and experience for the conclusion of value of property.  For more information on appraisals, click here!   

Q: Why do I need an appraisal?

Courts, insurance companies and banks often require appraisals of property to determine value for legal purposes.  For example, if you have a certified appraisal of your personal property and make an insurance claim for loss - the insurance company will be bound to your appraisal value when making a settlement on your property loss.  Without an appraisal it is your word against the insurance adjuster's estimate. 

Q: Will you testify in court if I need an appraisal defended? 

Yes, as certified appraisers our services are often requested by the courts to explain and defend appraisals.  We always have a copy of your appraisal report at our offices and can refer to those documents for a period up to fifteen years.  However, the courts typically prefer appraisal reports that are less than five years old.  We will send you a reminder to review your appraisals every five years.   

Q: Do I need an appraisal in order to sell my property at auction?

No, a valuation is always set by the auctioneer before offering anything for public sale at auction.  And the auction method of marketing allows the market to set the price for real "market value".

Q: How do I order an appraisal?

Please call one of our appraisers at please call us at  602-252-4842 or (800) 801-8880 or you may email at Appraisal Info. 

 FAQ's about Internet Auctions

Simulcast Auctions

What is a Simulcast Auction?

How does a Simulcast Auction Work?

What is an Internet Only Auction?

How is Auction Systems different from eBay?

Listening to the Auctions

What is Auction Systems Radio Network (ASRN)?

When live bidding, why does the screen change the bidding increment faster then radio broadcasts the auctioneer changing the increment?/Is there a delay in broadcasting with Auction Systems Radio Network?

Can I listen to Auction Systems Radio Network when there aren't live auctions?

Online Bidder Registration

How do I register to bid in a Simulcast/Internet Only Auction?

Do I have to register to bid for every Simulcast/Internet Only Auction?

How do I update my registration information or update my account?

Online Bidding

How do I place a bid on a Simulcast / Internet Auction?

What is a proxy bid?

Why do you recommend proxy bidding over simulcast live bidding?

Why does it ask me for an opening bid and a max bid?

What is a Simulcast Live/Internet bid?

Why system requirements will I need on my computer in order to place a simulcast live bid?

Can I cancel an internet bid?

What are the bidding increments for the auction?

What if I can't place bids online, is there another way to bid?

Payment, Pick-Up & Shipping

How much does it cost to participate in an auction? / How much is charged to my credit card when I register as an Internet bidder?

What forms of payment do you accept for your auctions?

How do I know if I won an auction?

Do I have to pay sales tax?

When do I have to pay for my purchases?

May I pick up my purchases from an auction?

May I send someone else to pick-up my purchases from the auction?

Can you ship my purchases directly to me? /
How do I know how much shipping will cost?

 Q. What is a Simulcast Auction?

A. A Simulcast Auction is an auction where live bidders are physically present onsite at an auction location bid against Internet bidders online who have either placed a proxy bid or are bidding live in real time from their computer.

 Q: How does the Simulcast Auction work?

A: In Simulcast Auctions, all lots are listed in our online catalog with a description and a photograph and are available for viewing and proxy bidding by registered Internet bidders for approximately seven days prior to the live auction event. When the live auction event begins, Simulcast Live Bidding opens for our online bidders so they can place a bid in real time and compete against the live auction attendees.  Internet bidders can also listen to the auction over Auction Systems Radio Network.

Q: What is an Internet Only Auction?

A: All auction lots are listed in our online catalog with a description and a photograph and are available for viewing and proxy bidding by registered Internet bidders until the auction close date and time – there is no Simulcast Bidding for Internet Only auctions.

Q: How are Auction Systems’ auctions different from eBay?

A: Auction Systems is different from eBay in several different ways.  1) Individuals do not post auctions to our site - Auction Systems controls all the product that we sell as an agent for our selling clients.  2)  The end date and time for a Simulcast Live Auction is actually the beginning of our Live auction event.  So if a live auction starts on Saturday at 9:00 a.m. MST, that is when the first lot in that auction will be offered for bid to the live bidder competing against the Internet bidder until the last bid for the item is over and then the item is sold.

Q: What is Auction Systems Radio Network (ASRN)?

A: Auction Systems Radio Network is a 24 hours a day 7 day a week radio station owned and operated by Auction Systems Auctioneers & Appraisers, Inc.  We broadcast our Simulcast Live Auction events as well as play adult contemporary music, auction talk and auction updates when auction events are not being conducted.

Q: When live bidding, why does the screen change the bidding increment faster then radio broadcasts the auctioneer changing the increment?/Is there a delay in broadcasting with Auction Systems Radio Network?

 
A: Auction Systems Radio Network (ASRN) runs with a slight broadcast delay depending on the speed of your computer.  If Live Bidding on the Internet, you need to bid what you see on your computer screen and not what you hear from the auctioneer.  Depending on your computer’s speed the delay can be as much as 35 seconds.

Q: Can I listen to Auction Systems Radio Network when there aren’t live auctions being broadcast?

A: Yes, Auction Systems Radio Network broadcasts 24 hours a day 7 day a week.  We play adult contemporary music, auction talk and announce auction updates when auction events are not being broadcast.

Q: How do I register to bid in a Simulcast / Internet Only Auction?

A: Click on the “Bidder Sign Up” at the left of the screen. Read and review the terms and conditions and complete the requested registration form. If you experience difficulty, please call Bidder Central, at  602-252-4842 or (800) 801-8880 or you may email at Bidder Central.  You will only need to register one time.

Q: Do I have to register to bid for every Simulcast / Internet Auction I want to bid in?

A: No, you will only need to register one time.

Q: How do I update my registration information or update my account?

A: Click on “My Account” at the top of the screen and you will be able to update your information.  If you need assistance please call Bidder Central, at  602-252-4842 or (800) 801-8880 or you may email at Bidder Central. 
 

Q: How do I place a bid on a Simulcast/Internet Auction?

A: Find the Internet Auction you are interested in, Click on the "PREVIEW AND BID LIVE NOW" link. You can browse all items offered or by category. When you find an item or items you would like to bid on, enter the minimum amount you are bidding and the maximum amount you would spend on that item. Then enter your bidder number and password and click on "PLACE BIDS". A series of questions will appear for the first time you bid in that auction, which you can answer by clicking the appropriate box.  Then a screen displaying the bids you placed will appear and ask you to verify your bid amounts, once completed click, SUBMIT BIDS.
 

Q:  What is a Proxy Bid?

A: A proxy bid is one you enter in the maximum field and represents the highest amount you are willing to bid for a particular item/lot.  Once you enter a proxy bid, Auction Systems’ computer system will bid for you up to that amount, increasing your bid by the minimum bid increment only when you have been outbid by another bidder either Internet or Live bidder. So, you could win the lot for less than the proxy bid you entered or possibly be completely outbid.  We recommend proxy bidding over Simulcast Live Bidding to prevent being outbid during the live auction event.

Q:  Why do you recommend proxy bidding over Simulcast Live Bidding?

A: Proxy bids save you time because you don't have to watch the auction or attend the live auction - the computer bids for you. Proxy bids make sure that your bids are recognized, just in case you have to leave your computer, or your bid is not registered prior to item closing due to slow or delayed modem, or something happens to your Internet connection during the auction. Proxy bids are especially useful when you are bidding on many lots that are closing within minutes of each other. They will make sure that you don't miss out on lots just because you are bidding on another lot.  In addition, at the live event, a dedicated Internet Auction Clerk represents the proxy bids in increments as necessary to protect the interest you indicated, so it is just like being live in person at the auction.

Q:  Why does it ask me for an “opening’ and “max” bid?

A: Your opening bid is the “next bid amount required”.  You don’t have to enter a max bid however you will be outbid if another bidder places a bid.  If you are outbid, you will receive an email notification.

Q:  What is Simulcast Live Bidding or Internet Live Bidding?

A: On the left hand side of the screen, you will see a Live Bidding link which is only available on auction day.  When you click on the link you will enter your bidder number and password and then each item as it is being sold live on the auction floor will populate your screen with a photo and description.  Across the top of your screen there will be three increments that appear in push button boxes that you will be able to select to increase the bid.  If you are winning the bid, the screen will say “winning” or you will continue to be outbid.  The auction moves very quickly this way with items sold about every 20 seconds.  If the auction moves too quickly you can proxy bid during the live event.

Q:  What system requirements will I need on my computer in order to place a Simulcast Live bid?

A: In order to place a live bid during the auction you will need a DSL or a cable link for fast connectivity.  The auction moves at approximately one item being sold every 20 seconds.  If you don’t have access to a fast connection, please take advantage of placing proxy bids.

Q:  Can I cancel an Internet bid?

A: No, after you submit a bid, the bid cannot be canceled. Bids can not be cancelled just because you changed your mind. However if you missed putting in a decimal point or the bid was an obvious type-o, you can please call Bidder Central, at  602-252-4842 or (800) 801-8880 or you may email at Bidder Central so we can review your bid with you.

Q:  What are the bidding increments for an auction?

A: We have different types of bidding increments for our auctions; however the most typical is an opening bid of $10 with bidding in increments of multiples of $2.50. So if you place a bid of $11, your bid will only be represented up to $10. Also if you place an opening bid of $10 and then a max bid of $12.50, your bid will be represented at $12.50 since there is no intervening bid increment available, so your max bid should be at least $5 more than your opening bid, i.e. opening bid = $10, max bid = $15. Please bid accordingly. Bids under $50. work in $2.50 increments; Bids above $50, but under $100 work in $5.00 increments; Bids above $100 but under $500 work in $10.00 increments; Bids above $500 but under $1,000 work in $25 increments; Bids above $ 1,000 but under $5,000 work in $50.00 increments and bidding up to $100,000,000 work in $100.00 increments.  Our jewelry auctions have opening bids that vary depending on the appraisal price of the item but work with the same bid increments.  Our building materials auctions have lower opening bids then $10 because the items are often sold on a per square foot basis multiple.  Our coin auctions often have $2.50 opening bids and increment at $1.00.

Q:  What if I can’t place bids online, is there another way to bid?

A: If you are unable to access the Auction Systems Internet auction system on the day of an Internet Auction, you are welcome to join us live and/or please call Bidder Central, at  602-252-4842 or (800) 801-8880 or you may email at Bidder Central.  for outage information.  We also have a bidding kiosk available for your use at Auction Systems at 2324 E University Drive in Phoenix, AZ.

Q:  How much does it cost to participate in an auction? / How much is charged to my credit card when I register as an Internet bidder?

 A: Only the price of the winning bids you place plus sales tax, if applicable and shipping if you choose not to pick your item up directly. There are no fees charged to bidders who are not winning buyers. Auction Systems does not charge Buyers Premiums fees.  However the first time you place a bid in any auction your credit card is authorized for $10.  The authorization may appear for one to three days (depending on your banking institution) but is not a charge. 

Q:  What forms of payment do you accept for your auctions?

A: We accept Visa, MasterCard, American Express and Discover Card.  You may also pay in person on the day of the auction in Cash or Certified Funds.  We do not accept personal or business checks.

 Q: How do I know if I won a bid or bids?

A: Shortly after the auction has ended, you will receive an email from Auction Systems indicating the items won and the amount charged to your credit card.

Q: Do I have to pay sales tax on Internet Auction items?

A: Yes, unless you are registered with an out of state address and your items are shipped out of the state of Arizona. If you are a valid Arizona reseller, you can submit at tax exemption certificate to Auction Systems. If you are buying for personal use you will be charged sales tax of 8.3%.  Q: Do I have to pay sales tax on Internet Auction items?

Q: When do I have to pay for my purchases?

A: At the end of the auction when all items are sold, your credit card on file will be charged.  You may also come to the live auction event and pay for your purchases prior to the end of the auction however you will need to bring a valid form of payment including Cash, Cashier’s Check or credit card in order to pay for your purchase(s).

Q: May I pick up my purchases from an auction?

A: Yes, you may pick up your purchases on auction day prior to the close of the auction at the auction location.  You may also come the first or second business day following the auction (we are closed on Sundays for pick-up) and retrieve your purchases at that time.  We are open from 8:30 a.m. – 5:30 p.m. Arizona Time.

 Q: May I send someone else to pick up my purchases?

A: If you have paid in full, you must sign a third party release for a representative to pick-up your purchases.

 Q: Can you ship my purchases directly to me? / How do I know how much shipping will cost?

A: Yes we can ship to you for the cost of $3.50 per lot for shipping and handling plus exact shipping charges.  For larger items such as pallet lots or vehicles you will need to arrange for your own shipping of these items.  If you have questions about shipping please call Bidder Central, at  602-252-4842 or (800) 801-8880 or you may email at Bidder Central.