Spot the Dummy Bidder

Auction companies employ dummy bidders to spike up the bidding price of a property. These people blend well with the real bidders and they act normally. However, this does not mean that they cannot be busted. Here are some ways to spot those bogus bidders.   

First, arrive early and look at the bidders who are already there. Usually, dummy bidders arrive a few minutes before or right on the scheduled start so that other bidders will not speculate that they are dummy bidders. Most of the bidders who are early are real bidders who want to size up the competition. 

Second, you should be blunt in loudly asking the auctioneer if there are dummy bidders. There is no rule that prohibits you from doing this but if the auctioneer declined to answer, you can go and ask the seller.  Third, just ask the other bidders why they are here and if they are a dummy bidder. Some dummy bidders can’t hide and you can watch their face turn red. Also, most real bidders bring someone along with them and the lonely ones are most likely to be the dummy ones. 

Next, genuine bidders meticulously examine contracts of sale. If someone doesn’t seem to care about it, chances are he is a dummy bidder. Also, if you have a keen memory, you would already know who real bidders by face are. You have been bidding for the same properties for a while and you know how they look like already.  

You can also face the crowd while the auction is taking place. Some auctioneers call that a bid has been placed even though there is none. Ask the auctioneer to identify who placed the bid.  Also, try raising the bid in unusual increments. If the trend suggests that the bid increases by $5,000, why not try raise it by $3,750. And lastly, check for unnecessary gestures. Dummy bidders usually have extra movement that will lead you to speculate that they are a dummy bidder.