How an Auction Works

This is my first auction, what do I do?

Step 1: Register to bid by filling out a bidder card at the registration trailer. By registering to bid, the buyer acknowledges that they have reviewed and understand the information in the bid packet and the Contract of Sale agreement. The bidder also acknowledges that immediately following the auction, they are prepared to execute the Contract of Sale agreement and pay the appropriate deposit at that time in a form that has previously been deemed acceptable to the Auction Company.

Step 2: Determine how much you are willing to pay for a piece of property. Since your needs and desires are unique, your evaluation of the property will be different from anyone else’s.

Step 3: As the auctioneer progresses in his call for bids, simply raise your hand when you want to bid. If you’re not sure if you’re in or out, raise your hand again and the auctioneer will keep you in. He will not let you bid against yourself. The auction will be conducted under the total control of the auctioneer.

Step 4: If you have any questions, motion for one of Mel Manasse & Son’s Auction Team members. These ringmen are here to help you understand the process completely.

What does the term “ABSOLUTE” mean?

Selling to the highest bidder, regardless of price. There are no exceptions. An Auction conducted as absolute can generate strong interest because buyers know the property will be sold that day without exceptions.

What does the term “RESERVE or SUBJECT TO CONFIRMATION” mean?

An Auction in which the Seller or his/her agent reserves the right to establish a minimum bid. Under a reserve auction, the auctioneers will submit the highest and best bid to the seller. The seller has the right to accept or reject that bid. If the property is not labeled as absolute, it will be sold on a reserve basis.

Do I need to pre-qualify for Real Estate Auctions?

No. We normally do not require any pre-qualification to bid; however, if you intend to obtain bank financing, the bank will require you to qualify for their loan. The deposit you make on auction day is not contingent upon financing.

What is a buyer’s premium?

A buyer’s premium is a percentage that is added to the bid price to determine the total purchase price. If a certain type of auction has a 10% buyer’s premium, 10% will be added to the successful bid amount to create the total purchase price.

How will I know what the terms of the Auction are?

Mel Manasse & Son, Auctioneers has no set terms that are standard for each & every auction. We select terms pursuant to each auction that benefit both our Seller(s) and our Buyer(s). In order to be fully informed & educated on the terms of the auction, please click on the information provided for the respective auction you are interested in attending & view the terms for the Auction.

The most important thing to do at an auction is relax and have fun. If you have a question, ask it. We strive to insure that all of our customers are fully informed and educated. And remember,

You’re only going to pay one bid more than
someone else was willing to pay.