Auction terminology
Common auction terms, explained in plain language.
A
- Absentee bid A bid placed before the auction by a buyer who cannot attend.
B
- Bid increment The minimum amount by which a new bid must exceed the current one.
- Buyer's premium A surcharge the buyer pays on top of the hammer price.
C
- Consignor The seller who entrusts goods to an auction house.
D
- Dutch auction An auction where the price starts high and drops until someone accepts.
H
- Hammer price The winning bid at which the auctioneer brings down the hammer.
L
- Lot A single item or group of items sold as one unit.
P
- Proxy bid A maximum bid the system executes automatically on your behalf.
R
- Reserve price The confidential minimum price at which a lot will sell.
T
- Timed auction An online auction that closes at a set time, without a live auctioneer.