I beg to differ.

When I go to an appointment for an auction, I evaluate the situation and negotiate a commission that satisfies both the seller and myself. When that happens I define it as a fair commission.

I do not have a one size fits all commission. What I charge will depend up on quality and quantity of merchandise, how laber intensive it might be and how much of a headace or pain in the tush the seller is going to be. Yes... I charge extra for being made miserable! If that is not suitable I walk away and give that seller an opportunity to sign with a different auctioneer so his life can be made more miserable.

Lyn Liechty
http://www.arealauction.com

beg to differ

I agree with you Lynn. 100% maybe I'm not good at proper words and need to quit rambling. but you do need to look at seller and how much work, and if its going to be a pain, because some of the best Auctions ,are the one's you turn away. but that comes with age and how long you have been doing auctions , i have taken a few I wish I had never listed, but I learned, and took my licks.

that's what I was trying to say with a little extra Maybe I should not have said their is no such thing as a fair commission so i deleted it. In short terms dont charge what you think your worth, but what your worth. because their's alot out their that think the sun will not rise without them.

Now just how are we gonna argue, if we agree with each other? Well, since that's out, I guess I'll just go play cards with the wife!

Lyn Liechty
http://www.arealauction.com

someone said it was slow on az, (and since i was on post that got unpluged) I plan on keeping it slow, But sometime what's fair to one is not fair to another Like BP, so the question what is fair commission, really has a lot of answers, just depends what you want to make and what seller is happy with and nowwwwwwwwwwwwwwwwww what the buyer will pay

My advice is to charge your regular commission.

If you are doing your friend a "favor" then go the extra mile with them.

Personal property is usually done on a sliding scale (10% to 50%) based on price per lot or the overall gross of the job... If they have a hundred box lots of tupperware then you should charge them 50% plus lotting costs, if the house is loaded with saleable furniture, collectibles, 4 John Deere riding mowers in the shed, a couple of tractors in the barn, lots of good American made tools and that 1956 Chevy that was only driven on Sundays after church, then you will want to charge a lower percentage (10% to 25%) but make more on the overall sales price.

PLUS the BP if you charge one, some people like Lyn are very successful without charging a Buyers Premium... But you have to listen to his words of wisdom that he charges sellers a FAIR price and will work most 30 somethings under the truck.

Real estate charge your usual commission. Like Cornbread said if you normally charge 2% then stick with it, if you normally charge 35% then stick with it we have a published price list on our website and pay sellers $100,001 for every $100,000 in high bid hammer price for real estate.

If you are selling enough personal property absolute to cover the auction entry fees then as a favor, if your friend is broke you may want to tie the two contracts together and advance the expenses, *IF* you allow yourself to deduct the agreed upon amount from the proceeds of the personal property, in the event the seller does not accept the price of the real estate.

I always like to get something up front from the seller even if it's my best friend.

Heck my best friend knows of the pain we go through with sellers and as a friend would not think of asking me to work for him without front money. But he is a roofer and I paid him a year in advance to get my roof done about 5-years ago and his "favor" was putting me in front of people who had to wait a year and a half.

Be prepared to lose your friend because when you deliver cash for a living, it does not matter how much you get they always want more and everyone gets "seller-itis" before the auction.

Especially if you do your job right and create a buzz around the auction event.

roofers around here (not all) but most . a keg of beer at site, so they will stay. and give them 4 days work no friday's, and put a trampoline near house to catch the ones who have to much to drink. sad but true story without the trampoline. dont even ask me about the brick layers that worked on my home. sorry off the subject. What is fair