What Is An Estate Sale? Everything You Need To Know

An estate sale (sometimes referred to as a “tag sale”) can help you move on and rid yourselves of unwanted possessions that may have accumulated over the years. The term describes a quick and convenient means through which to liquidate the belongings of an individual or family’s estate.

Read on to find out how estate sales work, how to have an estate sale, and how holding one can help you and/or your surviving family members enjoy a fresh start.

What Are Estate Sales?

For simplicity’s sake, think of an estate sale as a means through which to liquidate a property owner’s possessions. It’s commonly undertaken after they’ve passed away, underwent a divorce or bankruptcy, or – due to an impending move, job loss or other reasons – have elected to downsize a large quantity of their belongings.

Whereas a garage or yard sale may involve putting a small- to mid-size amount of possessions up for sale in order to free up space and generate some extra spending money, estate sales are often much larger in scope and scale. This means that they generally encompass selling a much more sizable quantity of items, and often require significantly more organization and planning to facilitate.

In essence, an estate sale is often sweeping in scope, and no small undertaking. However, it can also prove a handy way to quickly divest yourself of unwanted goods and items that have come into your or a loved one’s possessions over the years.

What Is Typically Sold At Estate Sales?

While estate sales may include some of the various everyday items that you may see up for grabs at yard or garage sales, more often than not they involve the sale of bigger or more expensive personal effects as well. For example, just a few of the types of items that you may expect to see on offer at an estate sale include larger or higher-priced goods, such as:

• Furniture
• Artwork
• Antiques
• Appliances
• Clothing
• Collectibles
• Jewelry
• Wardrobes

In fact, larger estate sales may even involve the use of hired help and professional liquidators, who can assist you with getting the best price for items and increasing both foot traffic and viewership.

How An Estate Sale Works

In general, an estate sale is staged within the home of the individual whose possessions are being sold. Inside, items are priced and set up and displayed attractively, e.g., staged in rooms or laid out alongside decorations on tables, and everyday shoppers are invited inside the dwelling to peruse the wares on offer.

Attendees are free to browse these goods, and typically pick up and carry any items they’re interested in purchasing around the house until they’re ready to check out. In the event an item is too large or heavy to carry, customers are typically provided with “Sold” tags which they can place on the objects they’d like to purchase until it’s time to settle up.

As estate sales can take time to conduct and items don’t always sell at a rapid or consistent clip, they typically take place over the course of a weekend and may last 2 – 3 days if the owner has many belongings that they’re seeking to unload. Noting that estate sales can attract a crowd, there are several ways that sellers typically keep things manageable. The most popular method is typically to adopt a first-come, first-served policy, under which prospective buyers line up outside the home before the sale is set to begin. Other sellers may instead elect to use a number-based system (where everyone takes a ticket on arrival) or sign-up sheet to manage the ebb and flow of foot traffic.

Types Of Estate Sales

There are several different types of estate sales that sellers may engage in. A few of the most common options are below.

• Traditional Estate Sale – Takes place in similar format as described above. Involves a lot of on-site activity and sales.
• Online Estate Sale – Conducted over the internet. Buyers may browse and purchase objects from the estate sale online and from a variety of internet-connected devices.
• Auction Estate Sale – Functions similarly to other types of auctions. The public is given a chance to bid on items of interest that they’d like to purchase during a set time period.

How To Have An Estate Sale

Wondering how to have an estate sale, manage pricing and publicity and handle other aspects of the process? You’ll find a brief overview below.

1. Work With An Estate Sale Company – An estate sale company can help you manage the process end-to-end, from inventory management to pricing, staging and sales. They’ll generally take 30% – 50% in commission for their help.

2. Organize Your Inventory – Organize and sort items available for purchase, think about how to best present them and plot out any promotional materials or staging items that may be needed to help showcase these goods.

3. Price Items Appropriately – Consider how rare, in-demand, desirable, and/or trendy various items may be. You may wish to work with an appraiser to help determine the value of more exotic or pricier items.

4. Offer Multiple Purchasing Options – Provide prospective shoppers with a variety of payment options, e.g., the use of credit cards, online payment solutions and cash purchases.

5. Recruit Volunteers – If you elect not to hire a professional company to help run your estate sale, you’ll need some extra help and hands involved. Consider recruiting friends and family to assist with the process.

6. Advertise – Promote your estate sale through multiple avenues, e.g., by posting listings online, through social networks and in your local paper. Don’t forget to buy signs for posting in your neighborhood with arrows directing drivers to the home as well.

Why Have An Estate Sale?

There are several reasons that you may wish to hold an estate sale. For example, you may wish to clear out space, rid yourself of unwanted items or liquidate assets to sell a home quickly. Sample reasons to hold an estate sale might include, but are not limited to:

• The homeowner died, and there’s no will.
• The homeowner died, and their heirs want to liquidate the assets.
• The deceased specified an estate sale in the will.
• The homeowner wishes to clear out space for a move.
• The homeowner wishes to move on and clear out their collection of goods.

Pros And Cons Of Having An Estate Sale

There are several upsides to having an estate sale. For example, it can help you clear out unwanted items, free up space, generate extra cash and more rapidly liquidate bulk items. Of course, there are also downsides as well, in that you may pay out a large commission to estate sale management companies, inadvertently underprice collectible items or fail to draw enough sales or crowds to justify your effort and investment. A popular practice though; countless individuals engage in estate sales every year as a handy way to earn added income and liquidate or get rid of unwanted items.

Estate Sale FAQs

You may have certain questions about estate sales. Answers to several common ones are below.

How does an estate sale differ from a garage sale or yard sale?

Primarily, it differs in terms of scope and scale of items involved. An estate sale typically involves a large inventory of goods and bigger-ticket items and offerings.

Is an estate sale or auction better?

That depends entirely on the age, rarity or selection of items on offer, your ability to draw a crowd, and how specialized a buying audience that you’re looking for. In general, an estate sale tends to work fine when selling a variety of typical and common household items.

Can buyers negotiate at an estate sale?

Yes, certainly, depending on how willing the seller is to work with buyers. It’s one way to save money and knock a few dollars off your total price tag.

Is having an estate sale worth it?

If you’ve got a strong selection of items, are willing to price them well, and are holding it at a time and in an area that’s likely to draw a crowd, then generally, yes.

The Bottom Line

If you’re looking to quickly liquidate a property or get rid of a large variety of goods in bulk, an estate sale can come in handy. As compared to a yard sale or garage sale, it serves as a convenient way to sell many bigger-ticket and household items at scale in a short time period. Interested in learning more about estate sales and how they can help? Be sure to pick up a few helpful tips on downsizing your home as well.