auction 'buy backs'

[NovaMob03]

I've heard that the about 40% of the cars sold at auction are bought back by the owners. How does this work when a bidder has acted in good faith and placed the winning bid? Do bidders sign an agreement allowing the owner to buy it back if it doesn't meet what they think it's worth? Is there compensation paid to the winning bidder? Does the seller pay the auction both the buyer & seller's cut? Also, what if the buyer feels the car he just won was misrepresented and wants to back out? Would he be forced to keep it?
Using John O's Gibb Nova for an example. If I were John, I'd want to buy it back, but if I were the winning bidder at 150K, I'd fight to keep it. Who wins?

[Steve Shauger]

I believe technically you can not buy your car back, but you can have someone else buy it back for you. The commission you would pay would be both the buyer and sellers totaling 18%(I am sure some have negotiated that percent down a bit). Before we bash Craig or anyone else at BJ, the sellers knew the deal going in, also some/most are the same sellers who made obscene profit in past years. I believe a lot of people have learned a good lesson.

[nuch_ss396]

Steve,

If the seller, or his/her agent can buy the car back, just
make the damn auctions Reserve and stop the

It's like a parody of itself. The announcers stating,
"there goes that car off to a new owner - nudge nudge, wink wink.
Once again, more Double

[mrrec]

It works very simply: At Russo, the seller's contract states he may bid on his own car. And he will pay both commissions.
At B-J the contract specifically says the seller may NOT bid or buy back his own car. It is done anyway, but the seller still pays the commission. Most of the time the auctioneer has no clue who the bidders are. Is it all honest? Is it the used car business??

The number of buybacks very widely. No one can put a number on it. An incredibly small percentage of cars end up in litigation. You bid, you buy. AS IS is all over everything, so you do your homework and that's it. The auction company has nothing to do with it and is almost never involved in a car "return". It's not Wal-Mart.

Dave

[Charley Lillard]

I was told John Ohler did try to buy his car back and was told he could not. If you want to buy your car back you need to have someone you trust and someone that trusts you to bid on the car and buy it. Then he just sells it back to you. There is now way the auction house or anyone else can control that. That is where Barrett-Jackson is at now. All your nudge nudge wink wink comments are the BS.

[427king]

"you need to have someone you trust and someone that trusts you to bid on the car and buy it"

The above actions at BJ do more to tarnish this hobby or business than any fake build sheet,rebody, or trim tag sale on ebay could ever do. [ QUOTE ]
It works very simply: At Russo, the seller's contract states he may bid on his own car. And he will pay both commissions

[/ QUOTE ] How can this possibly be Legal, when 3 people went to jail a few months ago for bidding up a friends 75K painting on ebay ?????

[YENKO DEUCE REGISTRY]

[ QUOTE ]
.... If you want to buy your car back you need to have someone you trust and someone that trusts you to bid on the car and buy it. Then he just sells it back to you. There is now way the auction house or anyone else can control that...

[/ QUOTE ]

Isn't this sort of 'shill-bidding with a reserve'? I guess it could also be called an 'auction hedge'?

[showyourauto]

[ QUOTE ]
I was told John Ohler did try to buy his car back and was told he could not. If you want to buy your car back you need to have someone you trust and someone that trusts you to bid on the car and buy it. Then he just sells it back to you. There is now way the auction house or anyone else can control that. That is where Barrett-Jackson is at now. All your nudge nudge wink wink comments are the BS.

[/ QUOTE ]

Seems to me if you are willing to gamble on the upside of putting your car out there are no reserve, you also have to make peace with the fact you may see a big down side. Chalk the loss up to price of enjoying the vehicle...I know of at least to "pairs" that sold WAY bleow owner expectation and what the owner had into them.

BTW- Charley, because I love you and because it's there:

[427king]

The only way around this problem is to put a buy it now on all the "auction" cars and if it doesnt sell right away take SEALED offers all at once . Ebay should follow suit. Everyone makes a bid and then at the end the bids are revealed, not during the auction. No jacking prices up artificially all along the way. If the seller had his friend throw the high bid in, fine he can pay 20% and get his car back.At least no one will suffer because of a false bid except the seller.

[sYc]

Man, i would want to watch 40 hours of that.