Fine Estate Liquidation, Inc.

Do we have an estate sale or auction? This is the question many people have to answer when dealing with the personal property of a decedent.

Let’s take a look at these two options:

Estate Sale

Estate sales are a fairly new phenomenon. Sure in certain areas they have been going on for years, but overall in most places in this country, estate sales are a relatively new option for selling a households contents.

Here is some good news!

Estate liquidation as an industry is becoming professionalized, and more and more estate sale signs can be seen on street corners or hanging from lamp posts. All across the country younger, fresher, and educationally more savvy people are starting estate liquidation companies and conducting estate sales.

Look in your local phone book under Estate Liquidation to find them. Or go on line and key word estate sales, or estate liquidation. Also make sure to include the name of your area in your keyword search e.g. Estate Sales San Francisco, Estate Liquidation Los Angeles.

Estate Sale Pro’s and Con’s:

Pros

1. Everything can take place in one central location.
2. There are no moving charges.
3. Everything can be sold individually, which creates larger incomes.
4. There are professionals to do this for you.
5. Commissions and other fees are usually lower.
6. Because they take place over a 2 or 3 day period more buyers can attend.
7. Prices are set, all items are marked.
8. Estate liquidation companies use better and more highly effective advertising strategies that let a greater number people know about estate sales in their areas.

Cons

1. There will be strangers in the decedent’s house.
2. Potential liabilities. Ask your estate sales company for a copy of their insurance policy.

Auction

Auctions have been taking place for centuries. All over this country you can find auctions being conducted; from out of the way farm auctions, to high end big city antique auctions. In many parts of the country there are simply no other ways to liquidate personal property than an auction.

Auction Pro’s and Con’s:

Pros

1. High value items will realize higher prices.
2. Household contents are immediately removed from the house, so that the house can be listed for sale.
3. If there are any surprise items in the house, the right auction house can market those items, and derive a higher price through competitive bidding.
4. Many auction houses put their entire auction catalogs on eBay. This can have a high income impact; especially for collectibles.
5. Competitive bidding acts as an imperative.
6. Mid to high level auction houses have in house research staffs that have ready access to important “price realized” data bases.
7. Property can be consigned with a sale price reserve.
8. Auction house are all over the country, even in rural areas.

Cons

1. Because auctions have to sell all items found in a home during a one day sale they use “box lots” in order to move large volumes. This tends to dilute the price your items sell for.
2. The auction process can drag on for many months.

My analysis of the estate sales or auction question is that both have positive strengths. To successfully liquidate an estates personal property, my recommendation is to adopt a two tier approach.

1. Consign your highest value items to the largest auction house in your area,
2. Engage the services of a local estate liquidation company to stage an estate sale.

Note: Many estate liquidation companies are starting to adopt this two tier approach, call one in your area and ask them if they do. If you are able to find one that does it will generally be to your advantage to engage the services of one estate liquidation company to handle all your estate sale and auction needs.

My name is Martin Codina and I am an estate liquidator who loves his job.

The Do it Yourself Estate Sales Guide

This entry was posted on May 15, 2008 at 2:10 pm and is filed under Estate Sale or Auction. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.