Auction Underbid Advice (1 Viewer)

[London24]

Despite the weird obsession with shiny bits of clay and plastic, I think PCFers are actually one of the more sensible groups of people I've come across online so I'd value some advice.

I also know we don't like lots of text, so I've tried to only include the most pertinent details of my predicament. For anyone who's interested, once the situation is resolved one way or the other I'll fill in the missing info in a follow-up post.

So, my predicament:

• I'm a serial collector - cars, motorbikes, sports stuff, movie memorabilia, most recently poker chips
• I spotted an item in a big, reputable movie memorabilia auction which I thought had a particularly low guide price (£4-6k but I was prepared to pay up to £15k)
• So I thought I'd watch online on the day and see if I could grab a bargain - in the end the bidding was between me and just one other online bidder
• On the day I got a bit carried away and was bid up to £25k, which was beaten by the winning bid of £26k
• Item lost, but way overpriced so I didn't feel too bad - but I did like the item so I was a little frustrated that the other bidder was more determined than me to secure it

Fast forward 3 weeks and today I receive an email from the auction house telling me the winning bidder has pulled out because of a family bereavement, and I'm being offered first refusal at my highest bid of £25k

I'm a massive cynic, so I start running through the options of what has "really" happened:

• The winning bidder is genuinely going through a tough time and can't go through with the purchase for legit reasons - lucky me to get another shot at owning the item
• They realise they've massively overpaid and they're better off eating the loss of whatever penalty the auction house imposes on them (or their made-up sob story gets them off the hook altogether)
• They're the seller / associated with the seller and bid up the price knowing they would eventually pull out and the item would be offered to the next highest bidder
• Something else I'm not thinking of...

I can see online that this bidder won all 4 items from this one particular movie, but the auction house won't tell me whether they've backed out of those other lots too.


Now I know that on the one hand, on the day I was prepared to pay £25k
But I also know that if you take this one other bidder out of the equation I'd have secured the item for the reserve price of £4.5k
And finally I know before the live auction room fog descended I thought the item was worth up to £15k (I kind of stand by that valuation despite there being no other bidders who bid over that)

I told the auction house I'd have a think about my position and give them a call back tomorrow - what's the right play?

 

[AK Chip]

If this person was the only one bidding against you, I wouldn't trust them to be on the up and up.

 

[upNdown]

I think you should offer them 15k - since that’s what you think it’s worth, since it’s a price you’d probably be happy to pay, and since it’s an offer they should accept based on how the bidding went.
But the bottom line is - how much do you want it? Are you prepared to live without it? Because you can have it for sure for 25k if you want it. Even if you’re getting swindled, it’s hard to say you’re getting swindled if they make you an offer and you accept it.

 

[raynmanas]

unless you MUST HAVE just say "i appreciate the opportunity, but thankfully i've come to my senses"

since there were no other bidders, you are highly likely to get a lower offer, and this is now a negotiation. but you have to be willing to walk away.

 

[detroitdad]

It does feel sketchy. I would offer them whatever "your" high bid was.

 

[Tonysquander]

I would offer them what your last bid was after everyone but the winning bidder dropped out of the bidding and see what they do. Worst they can do is say no. Sounds fishy to me as well.

 

[aggie]

Only advice I can give is, “Be direct and professional.”

This is your chance to make a less emotional decision, and both time & circumstances are on your side.

 

[CraigT78]

I would decline as others have said, but I wouldn't be the one who counters. As they say, the first person to offer a price in a negotiation loses.

Someone said that - I think.

 

[AK Chip]

If you want them offer the starting price, they set at the auction 4.5

 

[tabletalker7]

I imagine there was more than the two of you when bidding started. What price "bid out" the third place finisher?

 

[London24]

I imagine there was more than the two of you when bidding started. What price "bid out" the third place finisher?

There was one absentee bid at £4k, my opening bid of £4.5k met the reserve and from then on it was just me and the bidder who dropped out.

Really appreciating all the replies so far, lots similar to my gut reaction but great to hear the full range of opinions. I knew you were the right group to consult!

 

[tabletalker7]

There was one absentee bid at £4k, my opening bid of £4.5k met the reserve and from then on it was just me and the bidder who dropped out.

Offer the 4.5. I personally think the auction house is trying to pull one over here

 

[upNdown]

I personally think the auction house is trying to pull one over here

Oh it sure feels like it.
Are these things subject to any kind of regulation?

 

[cpac54]

Not a chance I'd take that offer. As others have said, I'd take whatever the highest bid was before bidder #2 entered the picture and go with that.

 

[BGinGA]

Yep, decline their offer, and counter-offer what you bid before the mystery bidder got involved -- and not a penny more.

 

[gmunny]

Yeah pass that like a hot potato! Smells of either shilling or cold feet. Either way, since its over what you think its worth, I'd pass.

 

[BGinGA]

If you pass on the offer, he really has no options other than relist them in a new auction. Will be very interesting to see how THAT one goes.....

Maybe you snag 'em for cheap. Maybe a 'new' mystery bidder appears and runs the price up. Or perhaps the new auction just starts at a wildly higher price.... and then sits there with no action.

 

[davislane]

Offer 4.5K . If you offer 15k they may go back to the person who pulled out and he may actually buy it at 16k? By offeing 15 they also may know your come to your senses maximum. Id be angling for them to redo the auction and go from there. This is based on you thinking something is untoward. Im leaning to that my conclusion given they didnt want to disclose the status of the other auctions

 

[upNdown]

If you pass on the offer, he really has no options other than relist them in a new auction. Will be very interesting to see how THAT one goes.....

Maybe you snag 'em for cheap. Maybe a 'new' mystery bidder appears and runs the price up. Or perhaps the new auction just starts at a wildly higher price.... and then sits there with no action.

Right so this is where I’m saying it depends on how much you want it.
I think you’d be crazy to pay the full amount, but it would be equally crazy to counter with whatever it was before the other guy got involved - they’re not going to accept that.
So is this a gamble / game the system / only interested in a steal of a deal situation?
Or is this an I WANT THAT situation?

 

[Machine]

"Thank you for the offer, I wouldn't be interested at 26k"

"At what price would you be interested?"

"3k" - (Its code for you tried to fuck me, now I let me hear you gag)

 

[Pony]

I can't believe that they'd let the other bidder "walk away" from a winning bid. For a $50 item - sure. For a $26,000 item? No way. Surely they had some deposit requirements or something. So they will most likely make at least something. BUT, as most everyone else has pointed out - something smells bad. Auctions are a game, where the "winner" is actually the loser most of the times. I know of in-person auctioneers that bid people against ghosts - people that aren't there. Just pointing and and chanting to get the price up.

Lots of good points - but the main question is - what is it worth to you? Can you live without it? Would you kick yourself in the pants if it sold for $18K?

Been times I've paid whatever just to win. Did that with a coin once. Paid 5x what it was worth to have one. No regrets. Just paid about $50 for a deck of cards - same situation, my max bid was 3 figures because I was going to own it.

So it all boils down to you. And your pocketbook. If you really want it - offer what it's worth to you. And then stand by your decision, good or bad. Heck, let 'em send it back to auction again if you want.

 

[moose]

"As I was the only legitimate bidder after the reserve was met, I would be willing to pay the reserve bid."

"I'm sorry we can't accept that"

"Add your break fee, and you will still do better than the reserve overall"

"We still can't accept that"

"You must think me a fool to believe that I would have bid against myself higher than the reserve. Demand is what creates a higher price and you have no other bidders on this item. The reserve is the maximum I would offer. Take it or leave it."

 

[Tonysquander]

If it was this lot me, @JesterTX and @allforcharity could probably help out! Minus the swizzle stick and ugly plaques, will knock at least 2k off of the estimate

 

[allforcharity]

If it was this lot me, @JesterTX and @allforcharity could probably help out! Minus the swizzle stick and ugly plaques, will knock at least 2k off of the estimate

View attachment 1041576

That swizzle stick alone has got to be worth at least $6k, right? Right?

 

[BGinGA]

Those aren't even original chips from the film. gtfo

 

[London24]

Thanks again for all your thoughts on this - great to get a sense-check with the general consensus supporting my initial reaction that this doesn't feel right.

I've gone back with an offer at the highest legitimate bid in the auction, £4.5k. It's the most logical and fair opening position, and I'll let you know the outcome as soon as I get their response.

 

[JesterTX]

Those chips are standard chips and not film chips. No way near what they are asking. Even if they were film chips would not be close to that price. Count yourself lucky you lost and don’t walk but run from them. Plaques and a swizzle stick do t cut it. Now if you want a 2700 chip CDI98 set for $25K PM me! Full cash and tourney set!

 

[Ben8257]

Ooohhh @ lil floppy fishy fish.... your kinda thread, you cute butter ball can of @Lil Tuna !

Careful he has been on the wR path on this subject

 

[Lil Tuna]

Just dealt with a D Bag on eBay this week that did something very similar. I had a high bid of $175 that held for a few days. Then was outbid every time afterward by the same bidder till the auction ended.

Within 5 minutes of auction ending, I get this shady second chance offer from the seller. I didn’t even respond and I won’t do business with these types. There’s nothing a D Bag like this has that I need bad enough to deal with their Bullshit.

Good luck going forward, lots of douche to sift through in the collecting and hobby worlds these days.

 

[Tonysquander]

Those chips are standard chips and not film chips. No way near what they are asking. Even if they were film chips would not be close to that price. Count yourself lucky you lost and don’t walk but run from them. Plaques and a swizzle stick do t cut it. Now if you want a 2700 chip CDI98 set for $25K PM me! Full cash and tourney set!

I don't think OP was bidding on this (at least I hope not), I saw it when I was trying to figure out what he did bid on and was just joking around I'm not even sure this was the auction he was in. That lot i posted sold. I did not create an account to see what someone paid for it though. If anyone has access, inquiring minds would love to know what that swizzle stick and those butt ugly plaques were worth to someone.