What is a reserve price auction listings

Some sellers specify a reserve price, which is a hidden minimum price they will take on their car.

What’s a reserve price?

A reserve price is a price the seller can set when they create an auction listing. It’s the minimum price they’re willing to accept for the car they are selling. If the bidding doesn’t reach this price, the seller typically will not sell the car. In some instances a seller may opt to sell a vehicle to the high bidder whose bid has not met the reserve price.

Sellers use a reserve price because it allows them to set a low starting price to generate interest and bidding, but protects them from having to sell their car at a price that they feel is too low. It is the sellers choice whether they place a reserve price on a car or not.

The reserve price is typically not displayed , but a seller may elect to show the reserve price. However, sellers aren’t obligated to reveal their reserve price.

Until  the bid price equals the  reserve price the listing shows a message, “Reserve not met”.

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Posted on: August 10, 2014