Sold The Secrets of Auction Success

Auction sales are traditional ways for sellers to find buyers, and for buyers to find bargains. From rural auctions featuring equipment and livestock, to automotive auctions where the rich and famous bid on elaborate sets of wheels, to Internet auctions where bargain hunters shop from the comfort of home, auctions provide exciting places to shop, or just sit back and watch the action unfold. Every auction is based on the premise of a group of buyers bidding on sale items. The items are presented for sale individually, sometimes with set starting amounts, and the bidding begins.

Potential buyers increase their bid amounts and the selling price gradually goes up. Then, when the gavel drops, the highest bidder is declared "winner" of that item. Another item is then placed on the auction block and the action continues.

Auction sales can be very good forums for determining the real value of particular items, especially when collectors are involved. When people really want certain items, money is sometimes no object at all. There are many types of auctions, and the basic premise is the same.

There are, however, specific rules and regulations in place for each type of auction: * English Auctions: The granddaddy of all auction sales, this is the basic style that pits bidders against each other in an open forum. The item goes to the person who bids the highest amount. * The Dutch Auction: Basically the opposite of an English auction, this kind of sale has the auctioneer offering each item at a premium price, and then lowering the price incrementally until someone agrees to pay that amount. It can be a stressful game of chance, causing buyers to jump in and pay too much, rather than lose the item to someone else at the next lower price. It only takes one bid to end the sale, so Dutch auctions can be practical ways to sell items quickly.

* Sealed First Price: Similar to a "silent" auction, this type of sale involves a simultaneous bidding by all potential buyers. However, no one knows the other participants' bid amounts. Whoever bids the highest amount gets the item at his or her suggested price. * The Vickey Auction: At a vickey auction, bargain hunters get even more than they "bargained for". Whoever bids the highest amount wins the item, but they don't pay their bid amount. Instead, they only need to pay the second highest amount.

* Buy-out Auction: Similar to an English auction, a buy-out features items offered for sale at predetermined prices to anyone who wishes to pay full price. These are also referred to as "buy now" prices. If no one in the group wants the item at full price, bidding will begin and the highest bidder wins the auction.

* The Open Outcry Auction: This is the type of auction usually seen in the stock and commodities markets. An open outcry auction involves lively trading at every corner of the arena. With the ever-increasing popularity of the Internet and modern communications, this type of auction is being replaced by electronic trading platforms operating over the worldwide web. Auction sales can offer buyers a quick and easy avenue to pick up all kinds of items. Collectibles, real estate, antiques, cars, artwork and countless other commodities, both new and used, are put on the block and available to the highest bidder.

These types of sales draw crowds of interested buyers, and the auction action can quickly heat up when more than one buyer is determined to win the prize. The competition can be fierce, and final sale prices can easily exceed the actual values. Most auctions are led by qualified auctioneers who are hired for a flat fee or a predetermined percentage of the proceeds. These professionals can provide information about the community and its buying preferences, as well as hints on obtaining the highest price for one's property. In the United States, most auctioneers are licensed by the state after completing a series of oral and written examinations.

Auctioneers must be reliable, practice integrity and have a good reputation. In addition to leading the sale, auctioneers are also responsible for publicizing the events and resolving disputes or conflicts that may arise during the sale. When mall walking gets a little dull flea markets fall a little flat, try searching for treasures at an auction sale. The excitement can run high, and you just might bag a real bargain on a true treasure.

Essayist Ardis Myles writes for a variety of web sites, on home business idea and drivers themes.