Thread: Online storage auctions?

Out of curiosity, has anyone checked into whether or not it's possible to hold storage locker auctions on eBay (or online, period) rather than through use of a scheduled auction with a real-live auctioneer?

I've always found that it's more of a hassle than it's worth to hold public auctions... but maybe that's just my experience.

I feel like the only problem you would have with that is dealing with shipping or people getting to the units.. Otherwise, I dont see why it should be a problem, it actually sounds like a really good idea

I don't see anything to gain and a lot to lose trying to do online auctions.
Why not just have a Lein Sale instead of the auction if your state allows that. Here in Florida an Auction requires a State Licensed Auctioneer but a sale can be done by anybody as long as the other rules in the statute are followed. I have auctioneers come to the sale as buyers and as long as I don't try to do the auctioneer lingo they've never had a problem with it.

Originally Posted by zvdradel

Out of curiosity, has anyone checked into whether or not it's possible to hold storage locker auctions on eBay (or online, period) rather than through use of a scheduled auction with a real-live auctioneer?

I've always found that it's more of a hassle than it's worth to hold public auctions... but maybe that's just my experience.

Don't know all the legalities and such but it appears some are up to it ...

http://www.sealedonlinebids.com/stores.asp

Hello everyone,

My name is Kevin and I work for Sealed Online Bids - A central resource for online storage auctions. ( www.sealedonlinebids.com )

I'll answer the questions posted here within this thread and welcome any additional questions or thoughts.

@zvdradel - Obviously yes, you can conduct online auctions. Our business is created exclusively for self storage auctions and has been very successful as we continue to grow exponentially every month.

@A Space Place Storage - Actually, you don't ship the contents or the units as a whole. Your buyers still need to drive to your facility, prepared with the necessary equipment in order to vacate the unit within the time limit you specify in the ad. We are all about eliminating the headache of the auction process, and any shipping would be too much hassle (but of course it is entirely up to you). We've actually had buyers travel hours (and HOURS) to pick up their purchased contents - it is their responsibility to get there to pick up!

@dennybeall - There is a lot to gain as a matter of fact. We are bringing a much larger community of bidders to your door, increasing the average final sale percentage by leagues, and removing YOUR liability of having a crowd of bidders wandering around on your property. The process is more simple, and your managers can administer the auctions themselves from start to finish, easily. We bring all of this to the table for a small 10% fee.

If anyone has any additional questions, please let me know; I'd love to answer them. Currently we are conducting auctions in Nevada, California, Utah, Florida, Louisiana, Ohio, Illinois, Iowa, Arizona, Texas...with many more coming soon. We are currently hiring in order to get our service rolled out to every state within the US (and Canada).

You're also welcome to call us at 801-893-1345

Have a great day,


Kevin
Sealed Online Bids

Thanks Kevin, appreciate the input.
I can see where in some markets and/or with some management teams it would be advantages to use the on-line auction process.
In our case there is no need to give up 10% of the gross to avoid 35 minutes of walking around the facility with 40 or 50 nice folks.

Hi Denny,

I know that we won't be able to convince every self storage business out there, but even after the 10%, you'll still be bringing in a higher rate of return which is the ultimate bottom line. Our system is creating selling prices above and beyond the typical site's average (usually by a long shot - we have data to back that up).

At the end of the day we are here to solve a problem and most of all, to make your life easier as an owner / operator / manager. Follow your typical legal protocol, place your ad listings for preview, open bidding, close the auction - all done automatically. Call the winner, arrange payment & pickup (determined by your T&C's stated in the ad) and you're done and money ahead.

Just keep an eye on us - we just conducted our first set of auctions in Florida with 4 facilities and the process was a huge success.

Have a great night.


Kevin

Originally Posted by dennybeall

Thanks Kevin, appreciate the input.
I can see where in some markets and/or with some management teams it would be advantages to use the on-line auction process.
In our case there is no need to give up 10% of the gross to avoid 35 minutes of walking around the facility with 40 or 50 nice folks.

Each state has it's own storage lien laws. Some of these laws are vague while others are quite specific as to where the lien sale must be held. In Texas, and a handful of other states, they may not be operating legally. See the following article: Are Online Storage Auctions Legal?

What would you do if the buyer didn't pay? How would you close out the auctioned account to keep from charging the tenant another month or get a final payment amount to charge against the account?

D In Texas it is very illegal to hold auctions online. Sealed online bids are performing illegal sales. These states make it very clear that auctions must be held at the facility. I actually just spoke with storage battles who started not to long ago seems very legit. They will only hold auctions in legal states