Storage Unit Update
Chapter 3
STORAGE AUCTIONS
This type of auction is one of the lesser known formats of auctions. These auctions are held in every city and town that has storage units in it.
Some of the larger cities will have hundreds of storage companies and there will be auctions almost on daily basis. The storage unit auction is
not an easy auction to participate in due to the limited amount of space, the time factor involved and the number of people who also participate in the auction.
Storage units are rented in general by the public as a place to storage excess belongings or in some cases the person has moved to a new area and
simply does not have the room to put all of their belongings. The storage unit provides a safe dry place to store the items until they can be moved to a permanent place.
This type of auction has some particular laws and traditions connected to it that makes it difficult to work. One of the major disadvantages
I have found is the time factor involved. This auction will normally be held during the week late in the evening. There are exceptions but for the most part
they will be held on a week day after 5 or 6 in the evening, usually by an auctioneer picking up extra cash
for himself.
The main reason for these auctions is to collect back rent on the storage units. After a certain period of time if the rent has fallen behind the owner
of the storage company has the right to cut off the lock of the unit and sell the contents for back rent. Even though he has the legal right to do this
he must follow certain procedures before the contents can be advertised to the general public for auction. The owner of the items must be notified in
writing of the intent to auction off all contents on a certain date if the rent is not paid up to date.
Even after the company has notified the owner of the contents he has to specific a time when the lock will be cut and the auction will begin. The owner
has until the deadline to come up with the rent. This can limit the number of units that will be auctioned off on the day of the auction. There may be
several units listed to be auctioned off and some the unit renters will pay up the back rent leaving only two or three units to be auctioned off.
There are some areas of the country where the rental company is allowed to inspect the contents of a unit before it is auctioned off. The problem is the
areas where this is not allowed the rental companies will still go into the unit and remove the valuable items and leave the junk.
This is in most cases done for one reason to increase the amount of money they will receive from the contents. This is not legal and when ever I attend
one of these auctions I will generally leave when I realize what has happen. Since the most valuable items have been removed there is no use staying for
the auction.
I have attended these auctions and there would be ten to fifteen units listed and at the actual time of the auction there were only one or two to be
auctioned off. This can be discouraging to the people attending the auction but again it is terrible to lose family items simply because a person has
fallen upon hard times. The reasons behind this type of auction is disheartening but the auction will take place if I am there or not. The units will be
opened and the contents will be auctioned off. Is it making a profit from other peoples misfortune? Without a doubt, but I find the auction to be a
place were I can find some very good collectibles and I love the fast pace involved with this type of auction.
The storage company will ask the bidders not to take away personal items such as family photos and personal papers as they can be returned to the person who
had rented the unit. I have bid on items at this auction and found personal items in the boxes I bought and I have always tried to take the personal items
to the office of the storage unit. I would hope that you would do the same as we never know when the winds of fortune may not blow our way.
This is an auction directed by a auctioneer and his helpers, the only difference is the people who are doing the bidding are not allowed to inspect the items
before the time of the auction and in most cases they are not allowed to inspect the items until the door of the unit is opened and the items are brought
out to be auctioned. This is what makes this type of auction interesting and action packed in the bidding. It can also become a shoving match unless the
auctioneer has control of his surroundings. I try to stay as close to the auctioneer as possible during one of these auctions as it is hard to bid standing
outside a large circle of people. So when you are working this type of auction remember to stay close to the auctioneer as he will be close to the items to
be auctioned off giving you a better position to inspect the items as they are brought out.
In some cases the auctioneer will allow you to look inside of a unit if it is not to full or just has a few boxes in it. In this instance he will usually
auction off the entire contents of the unit at one time, depending on the value of the contents. There are some storage companies that will not auction
off the contents one item at a time instead the entire unit will go for one bid regardless of the contents. This type of auction is great for the flea
market or junk store or antique shop owners to bid on. The only problem is not knowing exactly what you are buying as the inspection does not take place
until you have bought the unit in most cases.
Every area of the country has different rules and procedures they use to dispose of the contents of a unit and you just have to start going to the auctions
and watch and learn. You won’t regret taking up the challenge of these auctions. There are some states that do not allow for auctioning off the contents
one item at a time. In this instance the entire unit will be opened up and auctioned off. I have been to some auctions were the auctioneer will
allow you to make a cursory inspection of the contents and again I have been to auctions where the door is opened
and you can only look at the unit as a whole.
This makes it tough to make a bid but one rule I have followed and it has never failed me is to look at the contents to see if they are well packed. If I
see a unit with neatly stacked boxes and covered furniture then I am going to do some serious bidding on this unit.
If a unit is opened and the contents are all piled up in the middle of the unit with clothes and items stored in plastic bags then I will generally pass this one up.
How much will you have to pay for one of these units? I have bought entire units for as little as five dollars and there have been times I have spent over
five hundred dollars for a unit that has been well packed and completely full. This is still a cheap price as I have attended auctions where the units
would go for as much as two or three thousand dollars. This is out of my league so I usually just watch and enjoy the time at the auction.
There will be very little preparation for these auctions, just make sure you are there on
time to pick up a bidders number. Always find out who the auctioneer is and make sure you have him pinpointed and stay with the man all you can.
The items you can buy at one of these auctions range from pure junk to expensive furniture and antiques. I have went to auctions and came home with
nothing as the only thing in the units was the junk people did not care to leave for back rent and at times I have come away with thousands of dollars worth
of antiques and collectibles for only a few dollars.
The one thing you have to be prepared for is buying to much. I drive a small two seater car most of the time and I have not learned not to drive it to an
auction of any kind. The storage auctions are the worst and I always make the mistake of driving the little car knowing when I pull out of the driveway I
am making a mistake but I do it any way, go figure. The one thing I should know better than to do but I always do it. Why am I writing about driving a
certain type of vehicle, because you can carry very little in a small car.
One auction in particular I remember I went to I bought ten boxes of books and records plus a few pieces of furniture. Well needless to
say I could not carry all of it home in the little car. Luckily I went to an auction that I could rent a storage unit myself for one day. I was luckily
some companies won’t allow that. In most cases you have to take with you what you bought. The unit owner wants the items cleared out within twenty-four hours
or in some cases the units must be cleaned out at the end of the auction. Please make sure you take a large vehicle when you go to one of these auctions.
Again you never know what you will find when the doors are opened and you may want to buy a lot. Better yet never make the mistake I always do and stay away
from small cars
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