A “Bid Placed by Seller” or “Admin Bid” is a common practice that allows the Auctioneer to place a bid on seller’s behalf if the reserve price has not been met. This can only occur in a Reserve Auction. During a Reserve Auction the seller has the right to bid on their properties up to the reserve amount, as long as it is fully disclosed at the time the bid is placed.
When a buyer registers to bid on a property on the ServiceLink Auction powered by Hudson & Marshall website, they are required check a box that says “I agree” to the following terms and conditions of the sale:
"The seller of the property may instruct the Auctioneer to place bids on any property up to the amount of the reserve price. If Bidder is the high bidder but the reserve price is not met, the property has not been sold to the bidder."
Additionally, this information is disclosed at the bottom of the Property Details Page as follows:
- Hudson & Marshall reserves the right to place bids on behalf of the seller up to the seller’s reserve price. This provides buyers and sellers more flexibility to reach a mutually agreeable price. Seller placed bids do not occur once the seller’s reserve price has been met.