AuctionNinja | Knowledge (2024)

Basic Auction

What is a buyer's premium?

A buyer's premium is a percentage-based fee added to the winning hammer price. This helps cover the auctioneer’s expenses and administrative costs and off-sets credit card fees. The larger auction houses in major cities sometimes charge up to a 30% buyer's premium. Bidders may also be charged sales tax (depending on regulations of the individual state where the auction is held) on this additional fee.

Here’s an example ...
If you won an auction lot through “A-Z Auctioneers” with a 15% buyer’s premium and 5% state sales tax (the buyer’s premium is often taxed, but laws vary by state) here’s how it would work out:

Hammer Price

$100.00

Buyer’s Premium (15%)

$15.00

State Sales Tax (5%)

$5.75

TOTAL CHARGED

$120.75

You should note that buyer’s premiums vary depending on the individual auctioneer / estate seller using the AuctionNinja platform. Please be sure to read the terms for each individual sale. If you have questions about a buyer’s premium, please contact the auction house / estate seller directly. AuctionNinja does not control what individual sellers charge for their buyer’s premiums.

Bidding

What is extended bidding?

The AuctionNinja platform features extended bidding (a.k.a. "soft closing"). The AuctionNinja system will automatically extend the closing time of a lot (auction item) whenever a bid is placed within the last five minutes of its scheduled closing. This may occur multiple times on any given lot depending on the bidder interest in that lot. Once all interest and bidding in a lot ceases the clock will run out and the lot will close.

This is the fairest way to prevent “bid sniping” (someone submitting a high bid in the last seconds of any given lot’s closing in order to win said lot) and to give all bidders an opportunity to increase their bids if they wish. It is also the closest way to mimic a live, in-person auction, when the auctioneer gives bidders opportunities to increase their bids if someone jumps into the bidding at the last moment before hammering the winning bid.

Sometimes I'm immediately outbid. Why?

Because all maximum bids are "masked" (hidden from other bidders), you do not know what any other bidder's maximum bid may be or when they placed it. Sometimes you will be outbid as soon as you enter your bid. Thisonlyoccurs when another bidder had a higher maximum bid than yours already "on the board". Your bid set in motion BRG's automatic bidding system which raised the other buyer's bid above yours. The other bidder may have placed their max bid days, hours, or mere moments before you placed yours.

However,if you place a bid and there are no competing bids against your bid, the system WILL NOT immediately go to your maximum bid. In fact, if you are the only bidder by the time the lot closes, you will win the lot for the lowest possible dollar amount (based on whatever the opening bid was for that item),notyour max bid. So if you place a max bid of $25 on a lot with anopening bid of $1 and there are no other bidders vying for that lot, you will win it for $1. NOTE: This only happens when there are no competing bids.

Why was I outbid by an amount less than the next minimum increment?

Occasionally our bidders are outbid by an amount lower than the minimum bid increment (see bid increments in our Terms & Conditions). All bidders may place their max bid at anytime. As a result, you may be outbid by what seems to be an incorrect increment. The AuctionNinja system will not default to strict increments like a traditional auction if an "odd" maximum bid was left prior to meeting the bid price which would engage the next bid increment.

For example, let's say you place your maximum bid of $100 on a painting but another buyer wins the lot for $101. As stated in the bidding increments, you know the next bid should have been $105, not $101. The system will accept the $101 bid because that max bid of $101 was placed before the auction got to that next increment level.

Here's how: It's 4 p.m. on closing day and the painting is currently at $15. At 5:10 p.m. you place a maximum bid of $100. There are a few bidders at play and so by the time 5:45 comes around, the current bid is at $78 with you as the highest bidder. At 7:05 p.m. a new bidder joins in and places his maximum bid of $101. Since this new bidder's bid of $101 is above the minimum increment at the time she placed the bid, it is accepted by the system. Since there were no additional bids placed before the countdown clock ran out, the $101 bidder wins the lot because it is higher than your $100.

My max bid was the same as the winning bid (tie bid), yet someone else won it. Why?

In the case of a tie bid, the hammer will always fall to the first bidder. For example, the current bid is $50 (placed by someone else). What you don't know is that their max bid (which is masked from other bidders) is $200. You join the bidding and and place a maximum bid of $200 and are immediately outbid in favor of the other bidder. Even though two people have the same max bid, only one person can win the lot. That is automatically determined by bidding order -- the person who placed that maximum bid first.

Post Auction

Can I pay by cash or check at pick-up?

AuctionNinja | Knowledge (1)

In order to keep AuctionNinja uncomplicated for sellers and bidders, the only method of payment accepted is credit card via auto-debit at the close of the auction. This makes it easy for bidders to simply show-up at the designated location and pick-up their items. It also is safer and more secure for our auctioneers/sellers who, otherwise would be concerned about holding large sums of cash on hand.

Do you ship?

Again, AuctionNinja is merely the bidding platform bringing together buyers and sellers. You must contact the individual auction house / estate seller regarding shipping options (if they even offer any). Many sellers only offer local pick-up, but sale terms vary depending on the individual seller. Often these details are located on the landing page for each auction. Please be sure to read the auction terms for each auction before bidding, too.

I won an item in an auction, what now?

Within two hours of the close of the entire auction your credit card on file will be charged for the entire amount due (hammer price + sales tax + buyers premium). The charges are not processed until the entire auction closes. You will also receive a winning bidder email which will list your invoice (what item(s) you won, the hammer price, sales tax, and buyers premium) and all necessary pick-up instructions. Note the pick-up instructions are also always viewable on the auction landing page. Any questions about the auction results and/or pick-up instructions should be directed to the individual vendor/seller (details for the seller may be found on the auction landing page).

I won some items, where do I pick them up?

The individual auction vendor will feature pick-up details on the landing page for each of their auctions Sometimes, in the case of a residential estate location, the actual address will be included in the winning email (not included on the landing page) which is sent to the email address on file with your account. Please be sure to read the auction terms for each auction before bidding, too, to make sure that you are available to pick-up your items during the designated dates/times. Most often there are no other pick-up options available and requests for alternative pick-up options are at the sole discretion of the individual auction vendor.

What if I have a last minute emergency?

We understand that life throws curveballs sometimes. AuctionNinja is a bidding platform whereby individual auction houses and estate sellers sell their merchandise, so AuctionNinja has no input in the pick-up arrangements made by vendors. Alternate arrangements are at the sole discretion of the auctioneer per their auction terms.If you have a true emergency and cannot follow through on the auction pick-up terms for bidding, please contact the individual AuctionNinja seller/auctioneer (info found on individual auction listing pages). They may be in a position with their consignors to make alternate arrangements, but the majority of time your items will be considered forfeit.

I am the winning bidder and now realize that I don’t want my items. That’s ok, right?

In short, no. No, it’s not ok. When you bid on any items in an auction, it’s a legally binding agreement to purchase the item(s) if you are the winning bidder. Once the auction closes, if you’re the high bidder, per the terms of use / bidder agreement, you are obligated to follow-through on your purchase. Auctions do not work like retail stores where you can return an item if you have “buyers remorse.” So you must be sure that you are able to uphold your end of the agreement before placing your bid(s). You must do your own "due-diligence" in researching the items you plan to bid on -- before bidding -- per the terms of bidding. Items are sold "AS-IS, WHERE-IS," meaning there are no guarantees, warrantees, etc. Reneging on your agreement as the winning bidder in any auction will result in the permanent revocation of your bidding privileges on the AuctionNinja platform.

Account

What is my dashboard?

Your personal, password-protected dashboard allows you to track your bidding history, favorite lots, and more. The dashboard is essentially your account profile. From your dashboard, you may update your personal information at any time -- including billing address, credit card, etc. You may view your consignments with individual vendors (if you're a consignor) and/or your past purchased. Additionally, if you're following several lots from a variety of vendors, you may manage your bids directly from your dashboard vs. trying to watch multiple auctions simultaneously. In other words, manage your bidding on only those specific lots in which you are interested.

How do I update my credit card?

Cards expire or perhaps you may have gotten an entirely new card. Changing your card is easy on AuctionNinja. You may change your default credit card details at any time by logging onto AuctionNinja.com. Click onMYDASHBOARD. Then click onACCOUNT. Click onBILLINGOPTIONS. Next to “ManagePaymentOptions” click on+ADDCREDIT/DEBITCARD(in red) and enter your new card info. Voila! Your new card is set.

How do I update my state tax certification / reseller certificate?

AuctionNinja | Knowledge (2)

Changing/adding your reseller tax ID certificate is easy on AuctionNinja. You may update your information at any time by logging onto AuctionNinja.com. Click onMYDASHBOARD. Then click onACCOUNT. Click onPREFERENCES. Check the box next toTAX INFORMATION. Enter yourTAX ID #and be sure toupload a copy of the certificate.

***IMPORTANT: You must include a copy of the certificate in order for your Tax ID to be valid. Providing your Tax ID number only is not enough. It must be accompanied by the certificate. Contact and address information must also match the information on the certificate.***

Why do I need to add my tax exempt/resellers certificate for each company I bid with?

Since AuctionNinja is a bidding platform licensed by individual vendors, they are required to maintain their own set of client reseller certificate records (for IRS and state tax purposes). If they get audited, they need to produce their own documentation. As a result if you are a bidder and have a tax exempt / reseller's certificate, you need to submit that to the individual vendor/licensee. That means, if you bid in three auctions offered by three different vendors, you will need to submit your resellers certificate to each vendor.

Emails

How can I opt-in to receive AuctionNinja sale notifications in my area?

You may opt-in to receive email notifications about sales powered by AuctionNinja by clicking "Sign Up" in the menu bar.

How do I build my own newsletter options?

The AuctionNinja platform allows you to customize the information you recieve about vendor sales. You may do this with the "Build Your Newsletter" option. To access this, simply login to your dashboard. Hover over the "Your Account & Bids" menu tab and select "Build Your Newsletter" in the drop down box. From here you can filter the vendors you see by state and a zip code radius.

You will see all the current licensees/vendors who are located within your parameters. Simply click the heart icon in each vendor's box to either follow or unfollow that specific vendor (gray heart is unfollow, red heart is follow). You will then only receive emails when there are sales provided by those vendors you follow.

Be sure to periodically update your choices, as new licensees/vendors register and you may want to follow their sales too.

Other

I'm moving/downsizing/having a tag sale. Can I list my sale with AuctionNinja?

In short, the AuctionNinja online auction software subscription is meant for estate sale professionals or auctioneers. So no, you will not be able to list or sell your individual sale directly on AuctionNinja. You may, however, contact any of the AuctionNinja vendors who service your region to inquire whether or not they might be able to help you sell your personal property items. Take a look at our AuctionNinja Nation blog for an updated list of vendors who use AuctionNinja throughout the country.

AuctionNinja | Knowledge (2024)

FAQs

How much does auction ninja charge? ›

User agrees to pay AuctionNinja a $250 non-refundable set up fee (“Setup Fee”) due upon the signing of this Agreement, a monthly (or part month) fee of $19.19, which will be debited from a credit/debit card on file in the first 10 days of each month, and 2% of the total paid hammer prices of each auction payable by ...

What is auction ninja? ›

AuctionNinja is an online venue for Sellers to post auctions containing items for sale, and Buyers to browse these listings and opt to bid on and buy these items. AuctionNinja facilitates the selling and buying of items, but is not involved in the actual transactions between Sellers and Buyers.

How does bidding work on auction ninja? ›

You join the bidding and and place a maximum bid of $200 and are immediately outbid in favor of the other bidder. Even though two people have the same max bid, only one person can win the lot. That is automatically determined by bidding order -- the person who placed that maximum bid first.

What is the average price auction? ›

Average price auction: the winner is the highest bidder but pays the average of his and the second highest bid.

What percentage does an art auction house take? ›

How do auction fees work? The seller's commission at major auction houses, such as Christie's or Sotheby's, is 15%. On top of that, you'll be asked to pay shipping, LDL (loss, damage and liability insurance), as well as a hefty marketing and cataloguing fee. These are negotiable fees when it comes to consignment.

Are auction sites legit? ›

Online auction fraud is so prevalent that governments have a list of common warning signs, but millions of people are still at risk. Site owners must also take precautions to protect buyers and sellers, but detecting fake auctions is a team effort that requires everyone involved to be vigilant.

Is auction sniping legal? ›

This tactic is used to try to prevent other bidders from having a chance to place a higher bid before the auction ends. Bid sniping—including the use of software that places bids for you—is allowed on eBay, but it doesn't guarantee you'll win an auction.

What does sniping mean in auctions? ›

Auction sniping (also called bid sniping) is the practice, in a timed online auction, of placing a bid likely to exceed the current highest bid (which may be hidden) as late as possible—usually seconds before the end of the auction—giving other bidders no time to outbid the sniper.

Do I pay my bid or the auction? ›

In this case, if you win the auction, payment will be taken immediately. This is to ensure smoother transactions for buyers and sellers. Remember, a bid is a binding contract. When you bid on an item in an auction, you're committing to buy it if you win.

What happens after you win an auction bid? ›

When you place the winning bid, you meet with the auctioneer to provide your contact information, how you want the property to vest (for example as an individual, a partnership, an LLC or a trust) and pay up. The auctioneer has the name of the trustee, to whom you sign over your cashier's checks.

When should I bid on an auction? ›

Bid early and often: Do not be afraid to bid multiple times. There is no limit to how many bids you could or should place, so the main rule is: do not hold back! You do not want to end the auction wishing you had placed another bid, so bid confidently and often.

How much does Ninja broker charge? ›

No Deposit Minimum to Get Started
  • Free. Pay as you trade with no monthly fee. $0.35 / Micro. $1.29 / Standard. Commissions per side. ...
  • Monthly. Reduce your per-trade commissions. $0.25 / Micro. $0.99 / Standard. Commissions per side. ...
  • Lifetime. Lowest Commissions & Order Flow + Add-On Included. $0.09 / Micro. $0.59 / Standard.

How much does AuctionZip charge sellers? ›

Attract more visitors to your sales by listing on AuctionZip for the low fee of $20 per listing.

How much does MaxSold charge sellers? ›

Seller Managed:

MaxSold covers hosting the auction on maxsold.com, marketing, handling invoicing and payments. This service type has a tiered commission structure, with a $300 minimum commission: 30% commission for the initial $4,999.99 of the auction. 20% commission for any amount from $5,000 to $24,999.99.

What is the typical commission for an art auction? ›

Auctioneer commissions for fine art auctions tend to be on the higher end, ranging from 10% to 20% of the final sale price. These auctions may also include buyer's premiums, which are additional fees paid by the winning bidders on top of their winning bid.

References

Top Articles
Latest Posts
Article information

Author: Duane Harber

Last Updated:

Views: 6084

Rating: 4 / 5 (51 voted)

Reviews: 82% of readers found this page helpful

Author information

Name: Duane Harber

Birthday: 1999-10-17

Address: Apt. 404 9899 Magnolia Roads, Port Royceville, ID 78186

Phone: +186911129794335

Job: Human Hospitality Planner

Hobby: Listening to music, Orienteering, Knapping, Dance, Mountain biking, Fishing, Pottery

Introduction: My name is Duane Harber, I am a modern, clever, handsome, fair, agreeable, inexpensive, beautiful person who loves writing and wants to share my knowledge and understanding with you.