Auction Charges for Selling
When selling your item, you will be subject to a number of charges and fees. The greatest one will probably be the vendor's commission, which can range anywhere from 4% to 15%. The rates are usually ramped, which means that you will pay a certain percentage up to a particular amount, then a lower percentage on the remainder.
For example, a saleroom may charge 15% on the first £500, and 12.5% thereafter. This means for an item that sells at £600, you would pay £75 commission on the first £500 (15%) and an additional £12.50 (12.5%) on the remaining £100 - a total of £87.50.
The following table shows some example vendor's commission rates charged by auction houses:
| Hammer Price | Commission |
|---|---|
| Up to £500 | 15% |
| £501 - £1,000 | 12.5% |
| £1,000 - £59,999 | 10% |
| £ 60,000 - £149,999 | 8% |
| £ 150,000 - £299,999 | 7% |
| £ 300,000 - £599,999 | 5% |
| £ 600,000 - £1,499,999 | 4% |
There may be other charges to consider, such as insurance fees (which will need to be paid whether the item is successfully sold or not) and illustration fees. If you decide to withdraw the lot before the sale, there will be a withdrawal charge to pay.
There will be an additional 17.5% VAT charge payable on all fees and commissions.
Example Auction Charges for Vendors
| Item | Charge |
|---|---|
| Haulage (collect items for sale) |
£35 per hour |
| Insurance | 1 - 1.5% of the Hammer Price If unsold, 1 - 1.5% of the average of the high and low estimates |
| Illustration Charges | £10 (inclusion in a group illustration) £500 (full colour page) |
| Withdrawal of Item Before Sale | 7.5% of the estimated value or the reserve |
| Commission | 4 - 15% |
| Unsold Charge | £5 - £10 per lot |
| VAT | 17.5%, payable on all commissions and charges |
