Not every coin for sale is sold at auction the first time it is offered. If you are considering consigning a coin to auction it is useful to know in advance what will happen if it does not reach its reserve price before you sign the consignment agreement.
The Coin Comes Back to You
Lots that fail to reach their reserve are typically returned to the seller. The auction house will arrange for the lot to be collected or posted back to the seller. It is wise to check the terms and conditions of the auction house before consigning goods for sale. These terms will clearly set out the seller’s rights when goods are sold by an auction house on their behalf.
Relisting at a Revised Estimate
Many auction houses will relist your unsold lots at a lower estimate. Some will relist at the lower of the two estimates. Others will offer to relist at a reduced reserve and will ask how long you wish them to wait before relisting and whether you wish to be asked to approve the lower estimate.
Private Treaty Sale
Sometimes auction houses will negotiate directly with the only known buyer for a particular lot that failed to reach its reserve in the auction, this is referred to as a private treaty sale. This can be a good way to sell a coin quickly and discreetly but be aware that the auction house will be charging the same commission as they would have for the normal sale.
A More Suitable Future Sale
Specialist sales tend to attract more buyers than general coin sales, and so often an unsold lot can be held for a future specialist sale. Whether this would be suitable for your coin is something that we would be pleased to advise upon.
If you want Coin Auctioneers, https://www.hoskerhaynes.com/ is a good place to start.
Fees When the Hammer Does Not Fall
Some auction houses have a buy-back fee or unsold lots fee which can be for a fixed amount (e.g. £5-10) but must be clearly stated in the auctioneer’s consignment agreement.
Knowing these alternatives in advance helps you choose the auction house with the best terms for you.
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