Everything You Need to Know About Selling at Auction
Just as buying at auction can seem like an intimidating and unknown process, so can selling. However, this is simply a matter of becoming more informed and then making an exciting leap into a whole new world!
Selling can also be broken down into three main action points - estimates & valuations, consigning & selling, and finally outcome & payment.
Get a Valuation, or an ‘In-House Estimate’
Most reputable auction houses (Gray’s included) will be able to offer complimentary in-house estimates of your sale items. We ask for photos of the object from different angles, and a detailed description including a history of any damage, marks or signatures. Auction houses will physically need to see the item for further investigation, in order to provide the most accurate estimate.
A specialized valuation will be able to give you an accurate picture of market trends after comprehensively researching the auction landscape.
During the valuation process, our specialists will examine all elements of the piece, considering style, quality, date, complexity, condition, previous ownership, authorship, subject, size, authenticity.
They will also look for comparable works that have sold recently, adjusting values of the comparables to compensate for differences between the subject piece and the comparables found at auction. They may also consult experts like museum curators, artists, gallery personnel, technicians, architects, or art historians specializing in a particular period or style.
Sometimes there may need to be technical analysis of paint or canvas, or infra-red or ultraviolet light examination to assist with determining condition or authorship. Sometimes x-ray is necessary to answer questions that affect value. For some works of art we may need to consult the Art Loss Registry and other databases to try to determine if the work was stolen.
Research is performed, data is gathered to estimate what the work of art would sell for in the appropriate market at a given date. The specialist will consider, availability of like objects, rarity, cost of cleaning or repair if needed, and the history of sales of close comparables.
Consigning Your Piece
After the valuation, you will decide if you’d like to consign your item. What is consigning? Placing an object in another person’s keeping is known as consigning. This is a crucial part of the selling process. This means that when you’re ready to sell, your piece is consigned at the estimated price provided in the valuation. Some auction houses offer private sales, in certain circumstances. If you are thinking about consigning, but aren’t sure how much you’ll wind up paying, check out our blog on auction pricing debunked.
Selling Your Piece - Before the Auction
Auction houses will have a complete marketing strategy for their sales, including professional photography, advertising, and a shrewd digital plan for maximum visibility. This allows them to reach a wider, highly qualified audience, increasing the chances people will bid on your piece.
Before auction day, potential bidders can physically view the pieces and place their bids. All items are also available in an online catalogue as well, and bids can be placed throughout the two to three weeks preview period.
During the Auction
Those interested in purchasing your piece can participate in the auction by bidding against one another. The highest bidder wins.
Post Auction - Results of Sale
The hammer has fallen - now what happens? After the auction, we let you know the Results of Sale, i.e. the hammer prices your items sold for. Or if your item passed due to not meeting the reserve. If an item does not sell, we won’t charge you anything, and the owner can pick it up or can agree to consign it into another auction.
If the sale has gone through, expect to receive the payment on the timeline stipulated in the contract - this can typically be thirty days.
How Auction House Commissions Work
All auction houses are different; however, the standard commissions (and what we charge here at Gray’s) are worked out on a sliding scale. The more something sells for, the less we take. This is only paid out if the item is sold. This is how auction houses cover the costs incurred to value, photograph, catalogue, market, and sell your item.
We charge a standard auction house commission, between 20-35%, depending on the value of the item.
35%: Items worth $500 - $4,999
25%: Items worth $5,000 - $9,999
20%: items worth $10,000 - $99,999
Items over $100,000? - commission is negotiable
If you want to get into the nitty gritty check out our Conditions of Sale.
Get in touch with us if you have any questions or would like to receive a valuation on items like fine art, furniture, jewelry, decorative items, and more.