Farm equipment auctions in Toronto & Ontario are held monthly throughout the year for the convenience of Ontario farmers, contractors and executors both live and online. A lot of sales now allow you to bid from home, so you can no longer have to go to a sale yard to purchase a tractor. A sale can be followed from a kitchen table in Grey County, or an office in Mississauga.
Rapid-Sell.ca is the Guelph-based Ontario online auction website of David Moore & associates. Established in 1984, Rapid-Sell was launched in 2012 to take the firm's sales online. Online bidding is now a regular mode of buying and selling machinery, along with the older yard sales.
In the following sections you will learn how to find a sale, how to determine the value of a lot, and how to budget the actual cost of a win. You will also learn how to make arrangements for pickup and set up your own equipment for sale. Let's get a glimpse into why many Ontario equipment owners are opting to sell at auction rather than in the private marketplace.
Key Takeaways
- Equipment auctions in Ontario are held year round in timed online, live, hybrid and private treaty formats.
- Always pay more than the hammer price due to the buyer's premium and 13% HST.
- Before bidding, agree on an all-in max that includes premium, tax, transport and repairs.
- The majority of farm equipment is sold "as is, where is" so check lots and serial numbers first.
- Ownership documents, service records and a lien search are some of the things sellers should have on hand before listing.
- Check the terms of each sale for fees, closing times, closing dates and pick up times.
Farm Equipment Auctions Toronto & Ontario Attract Buyers and Sellers
Imagine a farmer in Listowel who wants to sell his tractor, disc and round baler before a certain day. An auction provides that farmer with a specific date for selling and numerous buyers in one place. The buyer receives the prices which are set by competing bids, not by a long negotiating process with one seller.
Time is the number one selling feature for sellers. An auction has one closing date and presents each lot to all the registered bidders at the same time. The auction company also takes care of the marketing, the payment and the organisation of the pick-up.
That's compared to a classified ad for used farm equipment. When it is a private sale, you are responsible for responding to each and every call, hosting each and every viewing, and taking the risk of a bounced cheque. After the third tire-kicker drives two hours and heads out without an offer, many sellers get disheartened and stop putting their cars on the market.
There is a benefit for the buyer also. You can observe the market price with an open bidding, where each participant is shown the price the lot has sold for. You also avoid the dealer mark-up and the back and forth of striking a one on one deal.
However, an auction isn't a magic price increase tool. If the owner was hoping for a lot to reach a certain price, but only a couple of people were interested in that machine that day, then it might be sold for less than he or she would have liked. For instance, a combine offering that concludes the week after harvest may not attract much interest.
That's where the concept of a reserve price comes in which is the minimum price that the lot should sell for. It is equally important to select the right date for sale. Both decisions are based, in part, on your type of auction and there are several types of auctions in Ontario.
The Ontario Farm Auctions are Online, Live and Hybrid!
The majority of farm equipment in Ontario is now offered in one of 4 different formats: timed online, live, hybrid or private treaty. Each has its own time frame, and it is up to you to select the one that works best for you based on the amount of time you have and your desire to make a quick decision. The difference between a timed online auction and a live auction is that one requires days to make a decision, while the other requires seconds.
It's as important as your calendar, but it's also your comfort level. There are some buyers that like the energy of the sales floor. Others like to plan during the evening, then bid following dinner.
Timed Online Auctions
A timed online auction is an auction that remains open for a period of time and closes at a predetermined time. Bid from a phone or computer anywhere in the province. This is ideal for a farmer who has no time to get out of the field during seeding but who still needs a second planter.
Another benefit of remote bidding is that you can view multiple sales simultaneously. You may have seen a sale at Woodstock and at Peterborough off the same screen. Each lot displays the current price bid, so that you can see the prices without calling.
This is frequently the easiest format to begin with. There's time to understand the terms, ask questions and figure out your budget before time expires.
Live/Hybrid Sales
A live auction is an auction at which an auctioneer calls out bids from the audience. Lots can go very fast – within a minute or two each. Before the auctioneer gets to your lot, it is important that you know your limit.
A hybrid auction is conducted in the same manner, but in addition online bids are accepted simultaneously. There is one lot bid on by floor bidders and remote bidders. This enables a Sudbury home buyer to compete with a person who is standing in a yard near Stratford.
First-time bidders might want to stay out of the live sale initially as it would be quicker than they expected and you would run over budget. If it's a timed online sale, you have time to consider. The fourth type of sale is a negotiated private treaty sale, which is usually conducted on a special website.
Knowing the formats is one step. The real issue that arises is how to locate a sale the day you want to do it.
Farm Auctions in Ontario: Where to find upcoming farm auctions in Ontario
Let's say a hay rake is required before first cut in June. Farm equipment auctions in Ontario are available on provincial websites, as well as local and national auctioneers with yards in the area. Each auction company has its own auction calendar and it is the most reliable source of information to confirm a sale.
Rapid-Sell.ca will list the current auctions on its website and you can see the time of the auctions and closing dates. Farm dispersals and consignment sales are listed on the individual pages of the regional auctioneers. Farm papers and farm notices are also used to help list auctions in Ontario.
If you are not in Ontario, Canada, and want to participate in equipment auctions, contact national equipment auction companies that have locations in more than one province. These companies have calendars online and provide email alerts on particular machines and areas. For instance, Ritchie Bros. advertises its upcoming auctions in Ontario in its own website calendar.
It's not necessary to visit all of the sites on a daily basis. You can do this watching for you with a few simple tools:
- Get email alerts from auctioneer for the type of equipment and area you desire.
- Saved searches on online auction sites, e.g., "hay rake" within a radius of a certain distance
- Once a week regional auctioneer calendars are checked
- Notices in estate and farm publications and papers
The narrower your search the better it will work with saved. A search for the term "rake" might also yield garden rakes; using "wheel rake" or "rotary rake" will yield the machines you are looking for. Calculate the distance to include the sale yards that you can get to with your truck and trailer.
Watch out for third-party listing pages that have sale dates copied from other pages. These pages may not be up to date and a sale may have been relocated or closed. Please double check the date and closing time on the auctioneer's website before making any plans based on it.
It becomes easier to find a sale once you have an idea about the months that offer the most lots.
Auctions This Weekend, Today and Through the Seasons
The fastest method to discover a sale closing this weekend is to search on the web for auctions that are closing soon. The majority of auction websites will allow you to filter that date in a click. Online closings do not always occur on the same day of the week and can be a Thursday or Monday.
Timing varies, as well, throughout the year. The March and July harvests are very different.
Today or This Weekend Sale – How to find one
People looking for auctions today typically refer to timed auctions that are online and end on the day they were posted. A live yard sale can take place on the same day as well, although it is more likely that an online closing will take place. Look at closing time, as many sales are in the evening, as well as the date.
To view upcoming farm auctions in Ontario this weekend, look at each auctioneer's farm auction calendar and narrow down to closing dates. It will depend on the calendars in effect this weekend as to whether a sale is taking place. The Rapid-Sell.ca current auctions page lists each sale that is open with its closing time.
Allow sufficient time to register before the deadline. Some sites may require a day to approve a new bidder, so register as early in the week as possible.
The influence of seasons on the supply and demand
Spring auctions and fall auctions will be the busiest times of the year, with summer being the least busy. Sales continue all year round. Lots of farms have equipment to be cleaned out after harvest or before planting.
Tillage and seeding equipment demand increases in the lead up to planting. Hence the common practice of selling a seed drill or cultivator in February or March, when there is demand for spring. Late summer is a good time to sell harvest equipment, like a combine head or grain cart, as buyers prepare for the harvest.
You can take advantage of a quiet season. With fewer bidders in July it may also mean less competition for the lot you'd like to bid on. For sellers, there might be reduced demand in that same month and so it depends on which side you are on.
The weeks leading up to the season sellers know they want can be used to prepare the equipment.
Getting Your Equipment Ready to Sell
When the serial number listed in a sale doesn't match the serial number on a machine, a sale can take days to stall. Any discrepancies are spotted by the buyers and lenders and the auction company has to deal with it prior to the payment going through. Collect your paperwork and double-check all the numbers with the machine before you consign.
As a consignor you submit your equipment to the auction company for sale on your behalf. That will make the job easier and faster with the paperwork you bring and gives buyers confidence. In a single folder store these five documents:
- Documentation of ownership including a bill of sale, purchase receipt, etc.
- Service logs and maintenance records.
- Warranty and transfer papers
- Serial number & model information including specification
- Documentation indicating the equipment is lien-free.
When the vehicle is a machine that the buyer can't drive home to test, service history can help them have faith in the vehicle. A log outlining oil changes, hydraulic work and new tires answers many questions prior to asking. Receipts too, as they verify what the log indicates.
The lien search is a task that should be done with care. A lien is a legal claim that a lender has on equipment until it is paid. Failure to have a lien search is the cause of a stalled sale or cancelled sale, thus, have a lien search prior to listing.
Then consider the appearance of the machine. Remove mud, chaff and grease to allow the buyers to see paint, welds and wear points. Repair minor issues that you can resolve, like a broken light or a loose hose clamp.
Then take clear photos, in good daylight. Exhibit the engine, the hydraulics, all four wheels and the frame from various angles. It's the same areas that the inspectors examine, and with good photos, the buyers can have their questions answered early.
You can find out how consigning with Rapid-Sell works and what to bring on the Sellers Info page. Assuming you have your folder and photos prepared, the next question is what may your equipment be worth?
Before purchasing or consigning farm machinery, it is important to know the value of the machines
When it comes to equipment value, hours can mean a lot... but service history can mean a lot more. A clean record on a tractor will give the potential buyer an idea of what to expect. A 3000 hour old tractor that has been well-maintained can be worth more than a tractor that has an unknown history.
There are a couple of key components to value. Both buyers and sellers consider the following four points:
- Year of manufacture
- On the hour meter are hours.
- Maintenance records
- Condition of the engine, hydraulics, drivetrain and tires
Comparable sales provide a real world starting point. Find recent results of the same make, model, year and hours. Also, take note of the area – the price in southwestern Ontario could be different from further north.
Make note of three to five similar sales before you make your decision. Make allowances, e.g. no air conditioning in the cab, worn tyres or a cab that is missing a loader. This will provide you with a range of possibilities instead of one guess.
Low hour reading can be misleading. Hour meters can fail or be replaced, and there is not much significance to the 900 hours unless backed up with service records. Request the records and verify the wear on the pedals and seat is in line with the hours recorded.
An estate will receive an independent estimate from an appraisal done by a qualified appraiser. That amount may be required by the executor for family members, attorneys or tax returns. David Moore & Associates has been in the appraisal industry for years and can consult with you regarding equipment appraisal.
When you have an idea of the fair value you can determine where you are going to sell or where you are going to purchase.
Rapid-Sell.ca is a site that offers buyers and sellers in Ontario several benefits
Read the terms page of a platform before browsing its listings. The terms will indicate the fees, payment guidelines and pickup guidelines, and will give you an idea of the company's openness. The best website for auctions is one that displays its terms, premium, pickup rules and contact information before you bid on them.
Rapid-Sell.ca is David Moore & associates' online auction site from Guelph, Ontario. As mentioned above, we have been around since 1984, and our internet site since 2012. We offer online bidding, so you can take part from anywhere in the province.
We also have guidance available for both the buyer and the seller. Please read our Buyers Info page for instructions on how to register, bid and pay. See our Sellers Info page on how to consign items with us.
Many ask, "what is the best auction site in Canada? The truthful reply relies on your class and location. Find clear terms and fees, local support and history to check.
What works for an antique tool collector might not work for a contractor that is selling a skid steer. Select a platform that features the type of equipment that you would like, and is in a viable drive to your farm. When you're looking to check out a lot or schedule a pickup, local support is important.
Please be aware that our listings may vary with each sale, please visit Rapid-Sell.ca to see what is currently available. This is indicated on the current auctions page and each sale will close at the specified time. If farm equipment is listed, you can make comparisons with your needs and budget.
Comparing platforms is not all the work. The other half is understanding what it's going to cost you when you make a winning bid.
When you make a winning bid, you're bidding for the real cost of the item
At equipment auctions the hammer price is never the final price. The winning bid is in addition to the fees, tax and transport. Before the sale, establish an all-in maximum, which is the highest amount you will pay for all the costs.
When the bidding war is on, it's a good rule of thumb to have a clear budget so you are not pressured to go over the price. It also prevents a good deal from becoming an expensive deal when the invoice is received.
Buyer's Premium and HST
Buyer's Premium is a percentage that is placed on top of your winning bid, paid to the auction company. That means that the actual cost of a lot is always more than the hammer price. Buyer's Premiums are usually in the range of 10-15% of the winning bid.
Each auction will have different premiums, please read the terms of each sale before bidding. Different rates are allowed for two sales that happen on the same weekend. The rate is listed in the terms, usually towards the bottom of the payment section.
HST rate in Ontario is 13% and includes Ontario purchases. This can vary from product to product, and depends on the status of the buyer, which may include registered farm business. Please consult your Accountant for HST implications.
Transport, repair and financing
The all-in maximum should include four items of cost. Include ALL of them:
- Buyer's premium
- HST
- Transfer from the sale site to your farm
- Prepares the machine for work by making repairs and/or parts.
This is an illustrative example in CAD, NOT a quote. On a CAD 20,000 bid with a hypothetical 10% premium, you add CAD 2,000. HST at 13% on CAD 22,000 adds CAD 2,860, for CAD 24,860 before transport and repairs.
Include hauling costs at CAD800 and costs of new hoses and battery at CAD1000. You have a total of CAD 26,660. Your best bid would need to be close to CAD 20,000, in order to keep the all-in total under CAD 27,000.
Financing can be through bank financing, credit union financing, Farm Credit Canada equipment loan or auction affiliated financing. Credit lines or leasing is also available. There are some agricultural loans that need as little as a 10% deposit.
Be pre-approved before buying to know how much you can afford. Lenders spend time on a file and payment due dates following an auction are frequently quick.
One can discover promotions for "free" gears auctions. That typically means that it is free registration only, with buyer's premiums and taxes being due. On Rapid-Sell's Buyers Info page, it describes how payment works and, once your number is set, you can bid with confidence that your bid will not exceed the amount.
Bidding With a Plan
A disc mower can be sold in the final minute of a timed auction for CAD 8,500, up from CAD 6,000. When there is a buyer with a written limit, he/she remains cool whereas others are looking for the price. Determine your maximum bid prior to the last few minutes of bidding and stick to that bid.
Bidding begins days in advance with an inspection and careful reading of the terms. Those two steps are more important than any slick timing trick.
Lot inspections prior to bidding
Take advantage of preview days, if they are available at the auction. Do a walk around and if authorized, start machine and inspect for leaks beneath machine. Use a flashlight and a rag to clean the serial number plate.
Ensure that the serial number is the same as the listing and any documentation. Record hour reading and compare with maintenance records. If such records are unavailable, use the hours with caution.
If traveling is not an option, check out inspection reports and photos/video if available. Focus on tires, hitch, hydraulic cylinders and welds. If there's a crucial angle missing, contact the auction company.
The reading of the Terms and the Closing Rules
The majority of farm equipments are sold on a "as-is, where-is" basis, meaning that there is no warranty and the equipment remains in its current location. If you win, any repairs are your responsibility. It is a rule that makes inspection well worthwhile.
The terms include payment due dates and payment options. Some sales require payment within a day or two and some don't accept credit cards for large lots. Also look at the "bid increment" which is the minimum amount that can be bid.
A lot of buyers inquire about the 15 minute rule. It typically means that it is a soft close (extended bidding) and if there is a late bid, it will delay the close. It's dependent on platform, so check in each auction's terms.
It is not uncommon to worry about fake bidders. There is a risk of shill bidding, where a bidder bids just to inflate the price. Good auctioneers will list their terms, and only use registered and established sites and work within your budget.
Don't "bid against yourself" in the last few minutes. If you already have the high bid, a new bid just increases your own bid. After winning, the next challenge is to get the machine home.
After you win, Pickup, Loading and Transport are provided
The buyer in Durham, who won a disc bine in a sale close to Owen Sound, is in for a long trip home. Pickup Date, loading set up and trailer must all match. There are terms for each auction that will outline the time of pick up so please read them before booking anything.
Storage and yard hours differ by location; please check with the location before heading out. Advance notice may be required for large items as staff may need to have a loader on hand. Each auction's terms of pickup are listed in the details of each auction and explained on our Buyers Info page.
Plan the trip by going through 5 checks:
- When the window for picking up is and when the final day to remove is
- If help (e.g. forklift, loader) is available
- A confirmation of payment which is required to be presented at the gate
- The value of the load covered by your carrier's insurance.
- If you are moving an oversized load, whether or not you need a permit.
A wide machine may require a permit for hauling it on Ontario roads. A disc bine or wide cultivator may exceed legal width limits – consult your carrier. Also make a plan as some bridges in the countryside have weight restrictions.
Insurance is worthy of a direct question. Inquire about the value of your machine being covered while it is on their trailer. If possible, have the answer written down.
Never hire a hauler without the loading arrangements. Without a ramp or tilt trailer a flat deck might be a waste if the site does not have a loader. Always verify set-up first and reserve the truck accordingly.
Another important part of smooth pickup is making sure to select a sale you can trust from the beginning.
How to Identify the Good Auction Site vs. The Bad Auction Site
Trust starts with what a site publishes openly. The most legitimate auction site is one that you can check and has a real business address, terms published, clear fees, and responsive contact details. Don't sign up or wire funds if you don't see those basics within a few minutes.
A good auction company will want you to know who they are. It's called its office, it states its rules and answers the phone. A shady website will not give too many details or will not make them easy to find.
Before bidding, go through 5 checks:
- An address that can be found on a map
- A terms page that has clear rules for bidding and payment
- A declared buyer's premium that you can see prior to bidding
- Payment options that provide safe payment via a business account
- The option to do in-person, or upon request, lot inspections
The verifiable address is a very basic test. Look it up and find out if it's a legitimate company. Next, during business hours, dial the number listed and ask a question regarding a lot.
Be on the lookout for one particular warning sign. Request for a wire transfer to a personal account is a red flag. Legitimate companies accept payment into business bank accounts and provide you with a legitimate invoice.
These same checks are even more important when a family is selling an entire farm's worth of equipment at once.
When selling a Whole Farm, Estate or Downsized Operation
When an estate executor in Wellington County opens up the shed, he might discover tractors, wagons, a sprayer and shelves of tools. It's a big task but one sale can take care of the entire lot. Start early as it takes weeks to sort, list and photograph a full equipment line.
Check with a lawyer first to ensure that the executor has the authority to sell anything. Estate legal laws differ from case to case and proof may be requested by the buyer(s) or the auction company. A brief consultation with the estate attorney is able to save a delay later.
A farm dispersal is where the entire farm is sold at auction. It's the solution for retiring couples and downsizing families to get rid of years of equipment by one date. It is also good for estates, as the one sale equates to one set of records for the executor.
Take care in grouping lots. A collection of small tools, like wrenches, chains and grease guns, can many times be sold better in a single lot. A box of random hand tools is more interesting than 10 little lots of one wrench each.
Large machines are normally sold separately and the papers are included. Attachments may be sent with the machine it is mounted on, e.g., a tractor and loader. Inquire with the auction company what they recommend for dividing lots for your auction.
The concept behind a full line consignment is the same as for a single machine, but on a larger scale. If you wish to sell all of your equipment, Rapid-Sell's Sellers Info page gives you an understanding of how consigning works. The sheds are now out of the way and the lots are now laid out, but there are a few basic lessons left.
Conclusion
When it comes to purchasing or selling farm equipment at auction, it's all about taking things one step at a time. Most people have two habits which make the most difference. Both are easy, and both require only a few minutes prior to the sale.
Before bidding, do your calculations and include the premium, HST, transport and repairs. In the final moments of the clock this number helps you stay calm. Second, read each auction's terms first, because fees, closing rules and pickup windows differ for each auction.
The same care is given to sellers. Buyers can bid with confidence with clean papers, lien search and honest photos. There is no guarantee as to price in an auction, but with proper preparation every lot has a fair opportunity.
Once you're ready, check out our Buyers Info or Sellers Info page for information that applies to you. You may also explore the auctions that are currently available at Rapid-Sell.ca and find out what's open now.
