How a luxury auction works, from estimate to hammer
Catalogue, viewing, registration, bidding, payment: a calm walk through the life of a lot at a sale of jewellery, watches or art.
Tool
Auction Price Calculator
From hammer price to the total you will really pay, or from your budget to the highest bid you can afford.
Why the hammer price is not the price
When the auctioneer’s hammer falls, the winning bid becomes the hammer price. The buyer then also pays the buyer’s premium, a percentage of the hammer price that many houses charge in tiers: one rate up to a threshold, a lower rate above it. Tax may be due on the premium, and sometimes on the hammer price as well, depending on the lot and the country. Shipping, insurance, storage and any import duties come on top.
Decide your limit as a total, then work backwards. The second tab does exactly that: it finds the highest hammer price whose total still fits your budget, so the excitement of the room never decides for you.
Questions
Are these premium rates real?
They are examples. Rates differ between auction houses, sale categories and years, and they change from time to time. Always read the conditions of sale for the specific auction and enter the published rates before relying on the result.
Read more
Stories for this tool
Bidding like a professional: an auction checklist
Set your limit, read the small print, ask the right questions. A calm checklist for first time and occasional bidders at jewellery, watch and art sales.
Record breakers: the jewels and watches that made auction history
A pink diamond, a blue diamond, two famous watches and a film star’s jewellery: what record sales reveal about rarity, story and provenance.