Auction vs. Estate Sale – What’s The Difference?

Although auctions and estate sales can have a lot in common – namely their end goal to dispose of a determined lot of property – each has its own unique approach that can be beneficial depending on each unique situation. In order to know which method is best for a situation you can speak with a local liquidation company like Ideal Trading or read on to learn the differences between these two different sales methods.

Basic principles of an Estate Sale:

  1. Once the need for a sale has been established, a liquidation company or individual is hired to facilitate the sale.

  2. chinese vasesThis individual is responsible for reviewing and appraising each item in the home for quality and quantity.

  3. Once each item has been appraised the liquidator will price each item to sell.

  4. The liquidation company will then stage the home and items in order to make them visible and more appealing to buyers.

  5. The estate sale will be advertised by the liquidation company to ensure a high turnout for a better chance at selling the items.

  6. Estate sales can last a few days. It is important to note that it is not uncommon for some items not to sell at all.

Basic principles of an Auction:

  1. Like an Estate Sale, once the need for a sale has been established, more times than not, a professional liquidation company is enlisted to plan and run the auction.

  2. auction gavelThe liquidation company will also appraise each item to establish quality and quantity.

  3. The liquidator will also price these items to sell at auction. The difference here, though, is that items are priced strategically in order for there to be room for increasing bids from competing buyers.

  4. An off premise venue for the auction is selected. A quality liquidator will choose a place that is not only large enough, but also well known and easy to find in order to attract bigger crowds.

  5. Flyers, mailers, and email blasts will go out to advertise the auction. An experienced liquidator will also notify a large network of buyers that it has well established relationships with.

  6. The day of the auction, the liquidation company will have its on-staff auctioneer call out the items in a manner that gets the crowd interested, excited, and ready to buy. The auctioneer will know how to pit multiple bidders against each other to drive up prices.

  7. Like an Estate Sale there is no guarantee that all items will sell.

While both methods surely have their benefits, speaking with a professional liquidation company, like Ideal Trading, can help to decipher which method is best for you.

For more information on Estate Sale services, Auction Services, or Liquidation Services offered by Ideal Trading, please visit our website here.