Regional Auction House Activity

The Scranton Times Tribune recently published an article on the increasing activity of auction houses. Lets not confuse that statement that prices are increasing, actually it is the opposite. It is good to take a look beyond the big two - four international auction houses and refocus on the second and third tier auction houses as well.

The Times Tribune notes the increase in real estate auctions, but also touches on the need for the courts and individuals to turn property into cash. The article points out there will always be people with money purchasing higher end designer merchandise, and there are also people out looking for bargains. The article is mixed as far as what is happening in these middle to lower sector of the auction market.

The article begins with “We’re seeing a lot of activity brought to us through bankruptcy courts,” said Mr. Cowley, who has been an auctioneer for 25 years. “There will be a growing need for people to turn assets into cash, and that’s what an auction house does.”

It continues with Just before the recession officially began in December 2007, Robert Earl of Dalton auctioned antique dining room sets at around $1,500. The dining room sets now auction for about half that amount. “I see more of a drop in activity, along with prices,” said Mr. Earl, an auctioneer for 52 years. While Nicholson auctioneer Ken Rivenburg has seen the price of collectibles and tools remain stable, he has seen the price of furniture drop because of less demand. Despite the drop in prices, business remains steady, he said. “In some cases when people need money, they come to us and we sell their merchandise,” said Mr. Rivenburg, an auctioneer for 20 years. “Of course, when they have a lot of money, they buy stuff.”

To read the Times Tribune article, click HERE.