Category Archives: How Do Estate Sales Work
The top questions sellers ask about estate sales is based on our Google analytics. We offer this review with links to pages on our website to answer some of these questions.
#1 Estate sale contract – what to know and expect. Estate sale contracts.
#2 Downsizing or moving, estate sale or garage sale and what’s the difference.
#3 Estate sale costs. What you need to know.
#5 Estate sale clean outs – under estate sale contracts.
On this Thursday as estate sales begin for another weekend we hope these top five EstateSalesNews.com topics answer some major questions.
EstateSalesNews.com has been honored by asking to speak at this years International Association of Appraisers conference.
We will be speaking about selling out the house and how to avoid the pitfalls of estate sales.
The conference this year is in Chicago, IL.
We will be addressing that conducting estates sales are a business, not a hobby.
Understanding the estate sale contract.
Why ISA (International Society of Appraisers).
What to do with left overs from estate sales and wearing three hats for one client.
We are excited to have this opportunity to speak about a subject we embrace and encourage and to such a prestigious group as the ISA.
Today is the start of another weekend of estate sales and their are thousands taking place across the country.
Please look at these websites for estate sales in your area.
Here is an updated checklist for estate sale contracts for estate sale companies and sellers.
We are not an attorney, but these items should be included and understood in the estate sale contract.
The estate sale contract should lay out in clear language.
- Name of the estate sales company
- Name of owner/s, heirs, or attorney
- Date of estate sale contract
- Address where the sale is to take place
- Dates the sale is to be held and time
- Dates the estate sale company will be given access to setup and price
- Any items excluded from sale on addendum when contract is signed
- Utilities – electric, plumbing, heating and air conditioning should be working
- Liability insurance for estate sale company
- Homeowner must have active homeowner insurance policy
- Ramifications of removal of items by sellers after contract is signed
- Fee or commission that will be charged if items removed or sold ahead by seller
- Cancellation clause of contract
- Party responsible for advertising and costs
- Who is responsible for obtaining and paying for any permits required
- Cost of sale, commission, fee, any additional sale related costs
- When seller will receive net proceeds and form of payment to be made
- Will seller receive written account of sold items and what it will or won’t include
- Who is responsible for the clean out when the estate sale is concluded
- If estate sale company cleans out any costs associated with clean out
- Any additional costs for appraisals or specific appraisals
- **If needed winter expenses and responsibility, i.e. plowing, shoveling, sand etc.
Visit the top of our front page for Choosing An Estate Sale Company.
Estate sale companies use research and knowledge to price your estate sale items. It is amazing what is found in estate sales that require research and where and how to conduct that research.
An experienced and knowledgeable estate liquidator friend recently shared information about luggage labels and baggage tags that have become collectible. The take away is knowing where and how to research these collectibles.
Gaining knowledge and more importantly knowing how to research items is important to both estate sale companies and sellers.
The experienced estate liquidator will conduct research by book, computer, auction catalogue results and networking with other estate sale companies. They will also consult with certified appraisers. Many estate sale companies keep an appraiser on retainer. Especially a CAPP (Certified Appraiser Personal Property).
Having the knowledge to know where and how to research is an important reason for hiring a professional estate sale company. The average seller just isn’t equipped with the knowledge or know how to properly price and advertise their sales. Many times money is lost because of lack of experience or where to research. It’s more than just eBay.
When choosing the right company to conduct your estate liquidation or downsizing sale ask about their experience and how they research. It’s your $$$$ that are at stake.
Today there are more than 15,000 estate sale companies working across America. Choosing an estate sale company should be about experience, reputation, reliability and integrity. The very last consideration should be commission or a fee.
Speaking with an estate sale company, asking to see referrals and conversing with them, reviewing their experience.
Seek out reviews on the internet and don’t hesitate to ask the estate liquidator about the reviews, especially those in question.
So many companies have come on line that it is now more important than ever to ask about their experience in the business, how they got into the business and why estate liquidations.
The very last question should be about commission and in the end this is not that important. If an estate sale company does a poor job a low commission won’t help you.
Like any other specialist, estate liquidators consider all their costs, plus the profit they need to make their living and the commission is usually based on that.
When choosing an estate sale company, choose by previous results with others, not what they want you to pay and make sure you sign an estate sale contract that covers everything. Success doesn’t just happened, it is earned and comes from knowledge. Be a savy consumer and choose wisely.
2017 is ushering in new challenges for estate sale companies.
New liquidation firms (auction houses) in particular are expanding to meet the constantly changing requirements of liquidating personal property.
Many auction companies have been servicing the public selling their personal property, however, bigger auction houses are now becoming engaged with liquidating personal property that they otherwise would not auction off.
Once again the term vetted is being used, but the question is who sets the vetting requirements and standards? With no national requirements it is important that sellers ask in depth how a company determines what vetting requirements they have and how they arrived at them.
Many associations require specific requirements from their members, however, this is not a national or state regulation. USPAP – used in appraisal (mainly real estate, but also for appraisers of personal property) is one of the few regulated requirements. Please see the USPAP article in our archives by Judy Martin, ISA, CAPP. Just type in USPAP in the search area on the left side of the front page.
Estate sale companies are challenged by these new firms entering the market place. Established estate liquidators have a working knowledge of personal property and the many needs for a successful sale. Auction companies that also sell personal property on a regular basis also understand what is required for them to succeed.
Sellers as recommended several times here on EstateSalesNews.com be sure you do your own due diligence. Take responsibility before you sign a contract with a company that you are satisfied you have asked all the appropriate questions and feel trust and confidence in the liquidator you are hiring. It’s your financial bottom line.