jmpTT
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Good Post
Apr 30, 2013,10:28 AM
As an exercise, I set-up such a spreadsheet with similar calculations to follow bidding for a few items I had interest in at a recent Antiquorum auction. Most of the pieces I was looking at were of the modern sort - less than 20 years old. The determination of a market value for the lot is an important exercise too. Beyond past auction results, there are other sources: the Collectors Market, online dealers, eBay, etc. Currency devaluation and inflation should be factored if the references for market value are more than a couple of years old. Rarity and personal desire are also factors - certain vintage watches do not come up for auction very often and there is a value to owning a piece "now" as opposed to "maybe next year". If you're in love with a certain piece, you might want to make an upward adjustment to your valuation ahead of time, rather than abandon your maximum bid thresholds during the live bidding.
Import duties may also be a factor, although I do not have personal experience. I'd recommend speaking to the auction house if you plan to ship outside the big markets (e.g. US, Hong Kong). The surcharges that are applied for international shipping insurance and the use of a credit card (usually around 5% of the hammer price) shouldn't be neglected either.
As I live in Canada and the auction was being run from New York, I factored in the cost of import duties (HST + 5%=18%), under the assumption that a domestic alternative could be sourced at market value. Domestic availability of is often questionable, but factoring it into your bid thresholds ensures that there are no nasty surprises when your prize is shipped across the border.
In the end, my bid thresholds often fell a bit below the low estimates. The premiums and surcharges really add up!
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Preparing to bid at auction: a case study
By: WHL : April 29th, 2013-20:20
There are many ways to purchase a fine timepiece, and all can be a great way to bring interesting watches into a collection: brand new from a brand boutique or authorized retailer, preowned from secondary dealers, collector to collector, and at auction. I...
Very, very interesting topic you have started here Bill....
By: Sandgroper : April 30th, 2013-04:14
it is like opening The Pandora box, isn't it? As I have noticed for the past few years thanks to Tick-Talk Eagle Eye! We have seen so many "frankenwatches" of VC, what assurance would I get about watches of PP provenience? Or other for that matter! :) Jus...
Good Post
By: jmpTT : April 30th, 2013-10:28
As an exercise, I set-up such a spreadsheet with similar calculations to follow bidding for a few items I had interest in at a recent Antiquorum auction. Most of the pieces I was looking at were of the modern sort - less than 20 years old. The determinati...
