When a relative dies, downsizes or moves into assisted living, you may find yourself needing to purge a lot of personal property items. One of the most effective ways to go about this is to hold an estate sale. Estate sales are typically held in the home, with the items left in the proper rooms, marked available for willing buyers.
There is no legal requirement during estate administration to hold an estate sale. It is voluntary. The personal property items may be divided among the beneficiaries or given to goodwill if the beneficiaries all agree. The purpose of the estate sale is to liquidate items into cash for the beneficiaries.
Top 10 Tips
1. Prepare the home, the items and yourself for this big event. An estate sale typically lasts a few days (often a whole weekend). Research the value of the items you plan to list. Clean out unneeded items and clutter from the home. Then allow family members to “shop” first. They may take items they choose for free or a reduced price.
2. Is a Pro Needed? Survey the remaining items and decide if hiring a professional estate sale service would be beneficial. They take a commission (30-50%) of the gross profits, but they also handle all of the logistics from advertising to running the sale.
3. Advertise. Advertise your estate sale a few weeks in advance and keep posting reminders until the event is over. You can advertise in local newspapers, neighborhood apps, bulletin boards, signs throughout the neighborhood and on social media. You should post a sign in the yard showing the date and times. Place signs around the neighborhood providing directions to the location of the event. Mention in the ads the types of items that will be sold – silver, antiques, furniture, equipment, etc.
4. Pricing. In the days leading up to the sale, go through the home and clearly mark the price of each item. Most customers will attempt to bargain the price down so make sure you take that into account during the pricing phase.
5. Staff the Event. Make sure you have enough family members or paid help to assist throughout the home. Sometimes these sales can attract large crowds.
6. Make Purchasing Easy. Have a cash box on hand for cash purchases at a designated “cashier table”. Many customers pay with hundred-dollar bills so make sure you have plenty of cash to provide change. There are also easy ways for customers to pay online with credit cards now such as Venmo, Square and PayPal. Display your username for these types of accounts and you can easily confirm the transaction on your smartphone.
7. Refreshments. Set up a refreshments table with water bottles, sodas and pre-packaged bakery items for sell.
8. Parking. Provide special parking instructions in your advertisements, on social media and using signage to clearly mark appropriate places to park during the event.
9. No Pets or Children. Do not have pets or children in the home during the event. A lot of people coming and going is not the time to be distracted by pets and kids.
10. Bulk Final Sale. Once the estate sale starts to wind down, you may find some shoppers willing to take the remaining items off your hands for one flat price. Be prepared to quickly assess the value and know whether this is the best strategy. It does make it easier than transporting unsold items to goodwill.
Estate sales can be a popular win-win event. It helps relatives unload unwanted personal property and turn it in to cash and many buyers feel like they find great bargains. If you need assistance in planning for a loved one’s transition into long-term care, estate planning or estate administration after the death of a loved, contact the attorneys at Stouffer Legal in the Greater Baltimore area. You can schedule an appointment by calling us at (443) 470-3599 or emailing us at office@stoufferlegal.com.
