Buyer's Premium

Discuss upcoming sales and sale results.
User avatar
slick4591
GURU
GURU
Posts: 8819
Joined: Thu Mar 31, 2011 6:58 pm
Location: Farmersville, Texas
Contact:

Buyer's Premium

Postby slick4591 » Fri Nov 24, 2017 11:27 am

I'll start this by saying I don't attend many auctions. An equipment one occasionally and a miscellaneous one a little more. Livestock auctions the least. I've notice a trend of tacking on a 10% fee to the buyer while still charging the owner a commission. I'm involved in a conversation on FB about this and we've had a couple auction company owners pretty well say "too bad so sad for you", deal with it.

I got caught up in an auction a while back where I was in a hurry and didn't read the fine print about their buyer's premium and had to pay it. Hated to, but it was my fault. I've since stopped going to any that double dip and charge the buyer extra to buy something. Just wanted to kick it around a bit because I'm figuring the livestock auctions will be coming soon.
0 x
"If the mountain were smooth you couldn't climb it." ~ unknown

jedstivers
GURU
GURU
Posts: 5787
Joined: Tue Oct 21, 2008 11:32 pm
Location: Marianna Arkansas (East Central)

Re: Buyer's Premium

Postby jedstivers » Fri Nov 24, 2017 2:45 pm

I discount my highest bid by the amount it will be.
I also only go to one that has that if there's something I really want at it.
I don't like them and support them the least I can.
0 x

callmefence
GURU
GURU
Posts: 3826
Joined: Mon Mar 07, 2016 10:36 pm
Location: Fencemans place...central Texas

Re: Buyer's Premium

Postby callmefence » Fri Nov 24, 2017 4:22 pm

There's a ton of auctions around here. Some going to a buyer's fee the better ones not. Like Jed said you just gotta do the math.
Fwiw..a IRS seizure auction will always have a buyer's premium.
0 x
A good wire fence is like a tight skirt. It protects the goods without blocking the view.


You can all go to he// . I'll go to Texas.
David Crockett

User avatar
slick4591
GURU
GURU
Posts: 8819
Joined: Thu Mar 31, 2011 6:58 pm
Location: Farmersville, Texas
Contact:

Re: Buyer's Premium

Postby slick4591 » Fri Nov 24, 2017 4:40 pm

callmefence wrote:snip...
Fwiw..a IRS seizure auction will always have a buyer's premium.


Now that's something I didn't know, but I've never been to one either.

Funny thing, but one of the auctioneers got pretty raunchy in the thread when someone said it was just a way for them to make extra money and not do any extra work. Admins deleted the thread after the reply. I happen to agree with the guy that made that statement.
Last edited by slick4591 on Fri Nov 24, 2017 6:51 pm, edited 1 time in total.
0 x
"If the mountain were smooth you couldn't climb it." ~ unknown

wbvs58
GURU
GURU
Posts: 3447
Joined: Sun Mar 20, 2011 12:45 am
Location: S.E. Queensland, Australia

Re: Buyer's Premium

Postby wbvs58 » Fri Nov 24, 2017 6:14 pm

We have the same thing here some have it some don't. We also have a goods and service tax of 10% that the government gets. It is hard to get in your head to allow for it especially when close to your limit and you think I'll do one more bid.

It is definitely a ploy to extract more money from buyers, a certain number of people will be ignorant of it and others in the heat of battle the mind switches to the figure the auctioneer is spruiking and you put in that extra bid over what you had intended.

Ken
0 x

Dave
GURU
GURU
Posts: 6442
Joined: Mon Jul 12, 2004 1:35 pm
Location: Klickitat County Washington

Re: Buyer's Premium

Postby Dave » Fri Nov 24, 2017 8:10 pm

The auction near my old place had a 10% fee on things $500 and under. One time I bought something that I was getting the bid for $500. I told the auctioneer that I had bid $501. He took the bid at $501 but I don't think he was real happy about it.
0 x

jedstivers
GURU
GURU
Posts: 5787
Joined: Tue Oct 21, 2008 11:32 pm
Location: Marianna Arkansas (East Central)

Re: Buyer's Premium

Postby jedstivers » Fri Nov 24, 2017 8:52 pm

The reason for it here is the seller doesn't want to pay the Commision so it's passed on to the buyer.
Both aren't paying.
I didn't know about the IRS auction either but have never been to one.
I'm sure they do that because they want 100% of whatever they can get.
0 x

User avatar
Supa Dexta
GURU
GURU
Posts: 1878
Joined: Mon Dec 22, 2014 6:33 am
Location: Eastern Canada

Re: Buyer's Premium

Postby Supa Dexta » Sat Nov 25, 2017 3:38 am

The latest scam in auctions. And I hate that its spreading.
0 x


Return to “Cattle Sales”

Who is online

Users browsing this forum: No registered users and 1 guest