thinking of going to an auction Tuesday...what are your thoughts/opinions?

**Gnraxlrose88** · 12-22-2011, 09:57 AM

Ok, i'm new to the auction world. I've gone to an auction house once, and that was just to see if i could nab a cheap F150.

Theres an old Howard Johnsons motel up here, it's been shut down for about 3-4 years. I got word that between yesterday and today they were having a "sale"...everything was "priced to move, and if you didn't like the price, make an offer." Whatever was left after yesterday and today was to be auctioned off on Tuesday. So, out of pure curiosity, I drag my girlfriend there to see what it's all about. Immideatly you can smell the must/mold as you walk in the entrance. They have stuff spread out eveywhere, one ballroom area is nothing but bedding/pillows, the kitchen is open, and all the kitchen appliances/grills/etc have price tags on them. Nothing has been cleaned, when the place shut down they literally walked out and left everything sit. So theres a big deep frier with chunks of food still in it, a cereal dispenser with moldey cereal in it (for $100, cereal included), etc. Theres stainless steel cookware/dishes/etc priced at $5-$8 each. Mini fridges for $50, but when you open them theirs mold along the seams, and on the bottoms, dead bugs, their badly discolored, etc. "Full rooms" for sale, with mattresses that look like people puked/peed/crapped/bled on/potentially died on. An old ice machine that "used to work" for $150, which is pretty much falling apart from being rusted so bad. I cannot forsee much of this stuff being useful for reuse...it's disgusting! And their "flexable" prices are maybe, $5-$10 off on an item.

So before you could even enter the sale areas you had to register, and get a number, which is good up through the auction. After seeing their prices, i'm wondering if it's worth it to go back for the auction...I was thinking of going in with maybe $50-$100 and seeing if I could pick up some small stuff to scrap, or maybe resell but again, wondering if it's worth it? There werent a whole lot of people there for the sale the two times I was there, so i'm thinking maybe a stack of stainless bowls would go cheap, or maybe $5-$10 for a fridge, something like that, but i've never gone to anything like this before....I guess i'm looking for some feedback/opinions? Sorry to make the post so long. And for poops and giggles i'll post the link to the auction site.

http://anothermacsauction.com/december-21st-22nd/

**KzScrapper** · 12-22-2011, 10:05 AM

I would wait for the auction and then bid accordingly and plan on scrapping everything you get, if something can be cleaned up and resold then it will be a bonus. Find out what the removal policy is and locate the closest yard to the hotel in case you have to load and go a number of times. Even if that yard pays a little less, but is close, you will save time and money on expenses.

**KzScrapper** · 12-22-2011, 10:11 AM

After looking at the first 50 or so pics I would definitely be there if I was within a 100 mile radius.

**Gnraxlrose88** · 12-22-2011, 10:15 AM

Thanks KZ, is it logical to think that the items will sell for way less than than the "sale" prices?

**KzScrapper** · 12-22-2011, 10:23 AM

I would think so, but if prices are already below scrap or if you think you can get something for dirt cheap and clean it up to sell ok to play it safe. There is so much stuff there tho there are bound to be some deals at auction. Find out what the buyers premium is and if they are charging sales tax, so you can figure that into costs. Keep in mind too, furniture can be tough to sell unless it's either unique or quality stuff...stay away from the mattresses.

**metaljacket** · 12-22-2011, 11:22 AM

Also might find some lot buyerslooking to lay off items they don't want or unsure about. Make a note of the buyers who buy lots that you are interested in.

**Gnraxlrose88** · 12-22-2011, 03:08 PM

Thanks mj! And kz...the pics dont show the true...umm...quality of the items. Their aiming the auction at other motel owners, and to think that some of this crap might actually get reused, and i might sleep on it, is kinda grimacing...but im not interested in furniture. Dont have the time, money, transportation, or storage. Im in it for the small stuff im hoping gets looked over

**Gnraxlrose88** · 12-22-2011, 03:14 PM

also buyers premium is 10%, sales tax is 5.5% and debit cards are an additional 4%. I talked them into $5 on an old michelob sign yesterday...it looked like it was dropped but im figuring if i fix it up i could get 30-40 outta it. in the end i paid. $6.04 for it.

**easyrecycle** · 12-22-2011, 03:51 PM

Yea this looks real good...you wont have people running the price up as a usable as much...most looks to be scrap...so you should get some killer deals here.

**easyrecycle** · 12-22-2011, 03:54 PM

Originally Posted by Gnraxlrose88

also buyers premium is 10%, sales tax is 5.5% and debit cards are an additional 4%. I talked them into $5 on an old michelob sign yesterday...it looked like it was dropped but im figuring if i fix it up i could get 30-40 outta it. in the end i paid. $6.04 for it.

Run the fees in the $100 mark....so if you spend $100 and with there 15.5% that = 0.155 $15.50 per 100 and bid per that.

On a side note if you are a company you can have them drop the sales tax as the item you are buying you will be reselling for that reason they can not charge you a sales tax. When you sell something to the scrap yard..they are in return going to resell it..you do not need to get sales tax from them. You have to pay sales tax and or get sales tax if some one or some company is planning on keeping said item then you will need to charge them tax.

**KzScrapper** · 12-22-2011, 06:24 PM

Here in Colorado you will have to have a Sale Tax License and have a copy to leave with the auction house in most cases, to do what Easy is saying...so check the laws in Wisconsin.

**easyrecycle** · 12-22-2011, 09:00 PM

Originally Posted by KZBell

Here in Colorado you will have to have a Sale Tax License and have a copy to leave with the auction house in most cases, to do what Easy is saying...so check the laws in Wisconsin.

Same here but...I have a sales tax license =)