How to Save Money by Buying Exclusively from Auctions

When it comes to saving money, there is no better place to get good deals than in auctions. To add to the great bargains, buying at an auction lends some fun to the shopping experience. If you're overly competitive, however, you might want to leave your ego at the door. Otherwise, the great deals disappear when the bid rises above what you would normally want to pay for a certain item.

There are quite a few different kinds of auctions and each has its own uniqueness. Online auction sites, such as Ebay, have become quite the prosperous business, although that trend seems to be leveling out somewhat. Live auction houses and barns are located in almost every small and large town across the country. And estate auctions are widely popular when selling property and belongings.

Online auctions are the most convenient for most people as everything is done from the comfort of home. The one main ingredient for online auctions has to be the trust that is placed between the bidder and seller. Most sites use a form of feedback that bidders can review to see how well a seller follows through with his or her sales. And it's relatively easy, and free, to register and bid on the items up for sale. Saving money on the auctions sites depends on how long you're willing to look for what you want. After doing a search for a particular item, you might get back several thousand results, if it's a widely popular item. So, it can be time consuming but will be worth your efforts if you want to save some money. Once you find an item you would like to bid on, you can enter into what's called a "proxy bid". Enter the maximum amount you are willing to pay for a certain item and the site will automatically rebid for you if someone tops your bid, until your proxy runs out anyway. If that happens, look for a similar item and try that one to see if you can get it for the amount you're willing to pay.

Live auctions are quite fun. They are usually run by an auction company that owns the property and will have auctions once a week, most of the time on Saturday night. It's suggested that you arrive at least an hour before the bidding starts. That will give you time to register for a bidder number and browse the items to be auctioned off. Some will supply you with a listing sheet or booklet with each item numbered so you can jot down notes as you're looking. Generally speaking, there won't be any reserve prices on auctions of this type, meaning any bid will buy the item. Some items may have a minimum, or opening, bid but once the bid goes above that price, it will be sold. Bidding is usually done by simply holding up a number for the auctioneer to take note of throughout the sale.

Another style is the estate sale auction. Many times these auctions are held to settle the estate of a person who has passed away. But don't feel guilty about attending these auctions, getting great deals on someone's passing. The proceeds of the auction are being used to settle debt left by the deceased or being divided among family members. They can be a treasure trove for collectors and penny savers for bargain hunters. The company overseeing the auction will usually want some sort of payment guarantee, such as a certified check, before you can register as many different items will be auctioned including the house the auction is being held at.

Attending live auctions or bidding online can be a great way of saving money as you get to decide what you're willing to pay for any particular item. At times, you may get outbid and have to settle with not getting the item. Other times, you're the winning bidder, you've enjoyed a different kind of shopping and you saved some money on the item and that was what you had in mind the whole time.

*Ebay Auctions, Ebay.com

*personal experience