Red Flags When Hiring An Auctioneer

The Difference Between a Real Auctioneer and a Wannabe

"Just because they spell Auctioneer the same, doesn't mean all Auctioneers are the same." Cindy Cash

If you’ve been in real estate long enough, you’ve seen them — the part-time, side-hustle “auctioneers” who think all it takes is a fast-talking chant and a Facebook post to get a property sold.

They pop up out of nowhere, promise the moon, and vanish just as quickly when things get tough. Often, they are part-time realtors, lenders, or home inspectors who see the auction business as a means to get rich quick.

Just because they spell Auctioneer the same, doesn't mean all Auctioneers are the same. Let me be blunt: For some "auctioneers", they’re giving auctions a bad name.

What Makes a Real Auctioneer?

A true professional auctioneer is not just a “bid caller.” They are market-makers. They know how to create energy, urgency, and competition in a marketplace where buyers are otherwise hesitant.

A real auctioneer:

• Crafts strategic, targeted marketing campaigns that bring qualified buyers to the table.

• Builds trust with both sellers and buyers by setting clear expectations and honoring every term of the deal.

• Manages the process from start to finish — contracts, disclosures, advertising, bidder registration, and closing coordination.

• Commands the crowd on auction day, reading the room, controlling the pace, and maximizing every bid.

  
  

The Pitfalls of Part-Time Auctioneers

Part-time auctioneers often treat auctions as a get-rich-quick gig instead of a profession. They lack the necessary infrastructure, such as trained bid assistants, clerking staff, and proper escrow processes.

They can’t market beyond their Facebook feed and leave sellers and realtors cleaning up the mess when deals fall apart.

"For many folks, they don't realize they have hired the WRONG AUCTIONEER until it's too late." --Jay Cash, The Auctioneer & Real Estate Broker.

Why Energy Matters in Auctions

A professional auctioneer generates momentum that moves hesitant buyers into decisive action. It’s an art and a science:

• Pacing the auction so energy never dips.

• Engaging the crowd so every bidder feels seen and valued.

• Reading body language to know when to push, when to pause, and when to close.

• Creating a competitive atmosphere where the fear of missing out drives the price higher.

  
  

Professional Red Flags to Watch For

When choosing an auctioneer, be aware of these red flags:

• No Auction License (in states where it’s required): If they aren’t licensed where law mandates it, they’re either cutting corners or ignoring regulations.

• No Real Estate License (when selling real estate): In most states, you need both auction and real estate credentials to handle property sales legally.

• No References or Reviews: A reputable auctioneer should have a list of past clients, public reviews, or success stories.

• No Track Record with Similar Assets: Selling fine estates is different from selling farm equipment — lack of relevant experience is a risk.

• One-Person Show Without a Team: Large or high-value auctions require marketing, clerking, and ringmen — not just one person.

• Overpromising Without Data: “We’ll get you top dollar, guaranteed!” with no explanation of how is a classic warning sign.

  
  

Financial Red Flags to Consider

Be cautious of these financial warning signs:

• Vague or One-Sided Contracts: Watch for unclear commission structures, marketing fees, or refund policies.

• Large Upfront Fees With No Marketing Plan: It’s normal to pay for marketing, but you should see a detailed plan with ad placement and timelines.

• No Escrow Account for Buyer Deposits: All buyer funds should be held in a regulated escrow/trust account — never in the auctioneer’s personal account.

• Non-Refundable Marketing Costs Without Defined Services: If they can’t clearly list what you’re paying for, it’s a problem.

• Reluctance to Disclose Final Sales Data: A reputable auctioneer should provide a settlement sheet showing every dollar in and out.

  
  

Legal & Ethical Red Flags

Be aware of these legal and ethical issues:

• Shill Bidding / Fake Bidders: Using fake bids to drive up prices is illegal in most states and destroys credibility.

• Mixing Seller and Buyer Money: Commingling funds can be a legal violation and a sign of poor financial management.

• Misrepresentation of Terms: Changing auction type (absolute vs. reserve) without written consent is a major breach.

• Not Posting Terms & Conditions Publicly: Buyers and sellers should see all terms well before auction day.

• Not Providing Required Disclosures: In real estate, things like property condition reports, lead paint disclosures, or HOA rules must be shared.

  
  

Communication & Transparency Red Flags

Effective communication is crucial. Watch for these signs:

• Vague About the Marketing Reach: “We’ll get tons of exposure” isn’t enough — ask for proof of past marketing performance.

• No Pre-Auction Seller Updates: A good auctioneer keeps sellers informed of interest levels, inquiries, and registered bidders.

• Avoids Tough Questions: If they dodge questions about past failures, bidder counts, or sale rates, that’s telling.

• Won’t Put Promises in Writing: If it’s not in writing, it’s not real — period.

• Lack of Professionalism in Presentation: Sloppy advertising, misspelled signs, or poor photos are a preview of what you’ll get.

  
  

The Bottom Line

Not all auctioneers are created equal. When you partner with a seasoned professional like Jay Cash, The Auctioneer, you’re working with someone who has:

• Decades of multi-state experience.

• A full-service team.

• A proven record of record-breaking sales.

• The respect of realtors, attorneys, and sellers across the country.

  
  

For our Realtor partners, you can still earn your full commission and give your clients the fastest, most competitive sales process available — but only if you choose the right auction partner. Don’t gamble your listing. Partner with a pro.

For our attorney partners, protect your client’s best interest with an auction process that’s fast, transparent, and proven to deliver results. Partner with Jay Cash, The Auctioneer — trusted by attorneys across the region to handle complex sales with professionalism and precision.

For our sellers, don’t let your property sit. Create urgency, attract serious buyers, and get it SOLD with Jay Cash, The Auctioneer — the trusted choice for sellers who want results.

Jay Cash – The Auctioneer📞 (615) 785-8982🌐 JamesRCash.com