The Auction Process

Real Estate and Personal Property

There are Four Classifications of Auctions:

Absolute Auction:

An auction where the property is sold to the highest bidder with no limiting conditions or amount. The seller may not bid personally or through an agent.
Also known as an auction without reserve.

Reserve Auction:

An auction in which the seller reserves the right to establish a reserve price, to accept or decline any and all bids. This must be in writing before the auction takes place.

Minimum-Bid Auction:

An auction in which the auctioneer will accept bids at or above a disclosed price. The minimum price is stated and announced at the auctions.

Sealed-Bid Auction:

A method of sale utilized where confidential bids are submitted to be opened at a predetermined place and time. Not a true auction in that it does not allow for reaction from the competitive market place. (some refer to as a Silent Auction)