Going once, going twice
Consider an online auction when downsizing or selling an estate
In
the age of the internet, selling things online has never been so popular. With platforms like eBay, Depop, Amazon and Etsy, millions of Americans can easily buy and sell items online.
Auction houses across the country are adjusting to the times — shifting much or all of their business online.
Leonard Auction in Addison, Illinois, is one such example.
The auction house
Leonard Auction was founded in 2006 by John Leonard. Leonard, the president and auctioneer, explains how his business developed over the years, growing into a multimillion-dollar auction firm. “We actually started as kind of an eBay drop-off store where folks would essentially drop off items, we would list them on eBay for them, sell them, ship them, pack them, and all of that,” he says. “Then it really emerged into the live auctions and now into the online-only auctions.”
Despite the change in medium, he says that the auction works in essentially the same fashion as a standard live auction.
“We are gathered here at the auction house, we’re taking in phone bids, we have absentee bids that have been left on the items, and then we utilize five different online platforms to broadcast these items,” he says. “Bids are coming in from all over the world, and essentially, our job is to reconcile those and ultimately award the item to the highest bidder.”
The process
So how does an online-only auction house operate? Typically, they start by asking for initial photographs of the pieces the client is looking to sell. From there, a team of appraisers assess the items to make sure they will be a good fit for the auction.
The next step is a virtual or in-person walkthrough to evaluate the items and estimate any logistical challenges it will take to bring them to auction. From there, they present the client with a proposal.
“The proposal is going to detail out our services, and then the nice, unique thing with the auction is that we are able to provide auction estimates for most of the items,” explains Leonard. “That way the client really has a value to work off of for their items. It’s not a formal appraisal, but at least it’s going to give them some sense of what we’re seeing in the market and what we would expect at auction.”
If everything looks good, a contract is signed and the firm arranges to move the items from the residence to the auction house.
“Then essentially once it gets back to the auction house, we’re doing all the work to market and get those items sold,” says Leonard. “So, everything from the photographs and catalog descriptions of those items, the research, generally the provenance and authentication gathering, we’re going to do all of that. From there we really market it to collectors and dealers from around the world who are going to be most interested in those pieces.”
Online auction benefits
Leonard says though auction houses present a great option for anyone looking to sell their possessions, they are especially beneficial for those looking to downsize or handle an estate.
According to Leonard, for these groups especially, an auction house provides the expertise and convenience they are looking for.
In Illinois, auction houses are required to have licensed auctioneers. Leonard says this is why expertise is a guaranteed benefit from a business like his.
“Certainly, the expertise. Really having our experienced and trained appraisers go in there and search through the items to make sure that we’re going to be able to get the maximum value for them is really important,” says Leonard. “Items are not going to get missed. You’re not going to sell that hidden gem for $10 because it wasn’t something that you recognized.”
Moreover, packing, moving and selling items can be a big hassle, especially for those who are looking to significantly downsize.
“I think the second (benefit) is really just timing and convenience. It takes a lot of time to sell something from the listing and the photograph. You have to find boxes to ship it out and find a place to ship it,” says Leonard. “When you have a larger estate, a larger collection of items, it’s generally going to be fairly overwhelming for most folks to try to sell that themselves. We’re that good third-party partner who’s going to come in and provide those services for you.”
A new home
If you or a family member are looking to downsize or need someone to handle an estate, an online auction house might be the best way to go.
“The auction is going to better connect you with the end collector, who, from a financial standpoint, is generally going to pay a little bit more for the items, but then is really going to treasure these items and is going to be excited to add them to their collection,” highlights Leonard. “For a lot of our clients, the money is kind of a secondary objective. They really want to find a good new home for these items and see that they’re going to be loved and cherished like they were to their family.”