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<p>[QUOTE=&quot;kanga, post: 290695, member: 9270&quot;]<font face="Courier New">I’m old enough to remember when auction house fees were paid by the seller only.</font></p><p><font face="Courier New">And this was really only at live auctions.</font></p><p><font face="Courier New">But the percentage started creeping up. 10% &gt; 12% &gt; 15% &gt; 20%</font></p><p><font face="Courier New">Naturally this couldn’t last.</font></p><p><font face="Courier New">Auction houses found their supply of consignments were drying up because of this growing cut in the sellers’ winnings.</font></p><p><font face="Courier New"><i>(At this time I won’t debate whether it was only increased expenses vs. wanting increased profits.)</i></font></p><p><font face="Courier New">So the concept of splitting the fees between the buyers and sellers was born.</font></p><p><font face="Courier New">The percentages dropped back to 10%.</font></p><p><font face="Courier New">The auction houses got their 20% split 10% from each.</font></p><p><br /></p><p><font face="Courier New">But now it appears the “fee creep” has reached 20% again, this time for both the buyer and seller.</font></p><p><font face="Courier New">40% take!!!</font></p><p><font face="Courier New">And don’t forget the possibility of taxes.</font></p><p><br /></p><p><font face="Courier New">The one real edge left for auction houses is that they can reach a larger bidder market.</font></p><p><font face="Courier New">But if someone is willing to fork over 6 or 7 figure dollar amounts for coins, do you think the cost of an airline ticket or the price of an agent is going to keep them from attending a show?</font></p><p><br /></p><p><font face="Courier New">OPINION 1: The auction houses are once again going to run into loss of consignments.</font></p><p><br /></p><p><font face="Courier New">OPINION 2: Sellers will turn to sites such as eBay for low to some moderately priced items.</font></p><p><br /></p><p><font face="Courier New">OPINION 3: Other moderately to high priced items will be consigned to dealers at large shows. <i>(My primary dealer charges me 10% over his acquisition price.)</i></font></p><p><br /></p><p><font face="Courier New">OPINION 4: Very high priced items will change hands through private sales.</font></p><p><br /></p><p><font face="Courier New">PREDICTION: Auction houses are headed the way of the dinosaur. Small ones die off and large ones shrink.</font></p><p><br /></p><p><font face="Courier New">Corrections, criticisms and comments, please.</font>[/QUOTE]</p><p><br /></p>

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