Auction glossaryAbsolute Auction: What Selling With No Reserve Means
An absolute auction is a sale where every lot goes to the highest bidder, however low the price, because there is no reserve or minimum. Also called an auction without reserve, it tells bidders the seller is committed to selling. Once bidding on a lot opens, the seller generally can't pull it.
How is an absolute auction different from a reserve auction?
In a reserve auction the seller sets a hidden reserve price and keeps the item if bidding falls short. In an absolute auction that safety net is gone: if one bidder offers $15 on a $300 table and nobody else bids, the table sells for $15. That risk for the seller is exactly what draws bidders in.
Why do sellers choose an absolute auction?
Estates, business closures and moves often need everything gone by a date, and a guaranteed sale attracts more bidders and more competition. Some houses still ask for a small opening bid to get things moving; strictly, an absolute auction has no minimum at all, so read the terms. Our reserve price guide covers the other kind of sale.
Questions people ask
Can the seller bid in an absolute auction?
No. In a true absolute auction the seller can't bid or have anyone bid for them. On Auktia, any bidding by or for the seller is shill bidding and is prohibited.
How do I know if a lot has no reserve?
On Auktia, an item with no reserve is labeled No minimum, since Auktia calls the reserve the minimum price. It sells to the high bidder when its clock runs out.
Are absolute auctions good for bidders?
They can be, because competition alone sets the price. Popular sales still draw a crowd, so set a max bid and stick to it.