How much of hammer w/bp do dealers actually pay?
seateddime
Posts: 6,180 ✭✭✭
I am thinking the established dealers are not paying 115% of hammer price on coins from the major aucton houses, does anyone want to share info on this?
I seldom check PM's but do check emails often jason@seated.org
Buying top quality Seated Dimes in Gem BU and Proof.
Buying great coins - monster eye appeal only.
Buying top quality Seated Dimes in Gem BU and Proof.
Buying great coins - monster eye appeal only.
0
Comments
-Paul
<< <i>I'm pretty sure they pay it all. -Paul >>
That's what I've heard too.
In the US, dealers always pay the full BP.
It's different in some other countries.
Doggedly collecting coins of the Central American Republic.
Visit the Society of US Pattern Collectors at USPatterns.com.
Authorized dealer for PCGS, PCGS Currency, NGC, NCS, PMG, CAC. Member of the PNG, ANA. Member dealer of CoinPlex and CCE/FACTS as "CH5"
I'm pretty sure when TDN sold the Eliasberg 1913 liberty nickel he said he was to get like 105% of hammer, but the coin did not sell in the auction
<< <i>All pay the 15% bp. However, when selling they can get some really good deals if they consistantly use the auction house.
I'm pretty sure when TDN sold the Eliasberg 1913 liberty nickel he said he was to get like 105% of hammer, but the coin did not sell in the auction >>
Yep, sometimes consignors can get more than 100% of hammer.
for example if (Heritage/David Lawrence/Escala group) sells a coin in auction with 10% buyers premium and 5% sellers fee,
and they buy an item for sale in another avenue, they may end up paying 95% of sales price
I would love to have a shop where folks thought I was THE expert and brought in their stashs to sell to me. I would also love it if I were asked to search for a specific coin to complete someones collection (or simply add to it) and that price were no object! Auctions would then be less stressful since I would be the middleman!
I would also just love to "broker" a couple of $100,000 coin deals for a 10% fee!
I fully expect that dealers pay all the going rates in auctions but that they have BUYERS already lined up that will cover those costs.
What I am saying is that for a coin dealer, its his/her business, but for the collector, its just a hobby which includes a 15% buyers premium.
The name is LEE!
Laws for auctioneers are different frome state to state, in some cases those differences can be as different as night & day.
If they aren't paying it, then the auction house makes up the difference in paying the consignor. I could see such an arrangment for a buyer that spends $1 MILL at every auction and lifts the entire auction by their presence. In the late 1980's this was sort of how Martin Paul operated buying up huge hunks of the auctions. He was great for business but he also made it much harder to buy something from the auction. If the auction houses weren't giving him some sort of incentive to ensure he attended, they should have been. With him not present I could see PR's lowered 5-10% across the board. I don't know if anyone today is still using that vacuum cleaner methodology at auction.
roadrunner
<< <i>I'm pretty sure they pay it all.
-Paul >>
However, different consignors can negotiate different percentages, so there is variation on the consignor's end rather than the buyer's end. For example, I have been offered as much as 108% for my potential consignments to two major auction houses.
I've never bid in an auction that charges a Buyers Premium, and probably never will..................I like to know what I'm paying and call me old fashioned but I don't want to spend my time calculating.