Sotheby's and the Secondary Market: A Practical Guide for New Buyers

Why Sotheby's

Sotheby's was founded in London in 1744 — making it the world's oldest continuously operating auction house. In the centuries since, it has handled the sale of some of the most significant artworks, jewelry, and objects ever transferred between private hands.

Today, Sotheby's operates differently from its historical model. Acquired by telecom billionaire Drahi in 2019, it has expanded into private sales, financial services, and digital platforms while maintaining its position at the apex of the major auction houses.

For buyers, what matters is the infrastructure: specialist expertise in every category, global reach, established authentication standards, and liquidity through a global network of collectors.

Getting Registered

To bid at Sotheby's (whether in-room, by telephone, or online), you must be a registered bidder. The process:

1. Create an account at sothebys.com
2. Complete identity verification (passport or equivalent government ID)
3. Provide bank references or financial institution confirmation for significant bidding limits
4. For very high limits ($1M+), Sotheby's client relations will conduct additional verification

Registration in advance of a specific sale is advisable — last-minute registrations can be processed but create unnecessary stress.

Understanding Sotheby's Sale Categories

The house runs different types of sales with different characteristics:

Evening Sales (Marquee): The major branded events — "Impressionist & Modern Art Evening Sale," "Contemporary Art Evening Sale." These feature the headline lots with the highest estimates and the most competitive bidding. Buyer's premiums are highest here.

Day Sales: Lower estimate ranges, wider variety of material, often better value for buyers willing to do the work. Serious collectors frequently find better prices in day sales than evening equivalents.

Online Sales: Increasingly significant part of Sotheby's business. Categories range from luxury watches to wine to prints and multiples. Lower barriers to entry but require the same due diligence discipline.

Private Sales: Off-market transactions facilitated by Sotheby's specialists. No public bidding, negotiated price. Can be advantageous for seller and buyer — seller avoids the uncertainty of the room; buyer avoids the premium escalation of public competition.

Due Diligence: What Sotheby's Does and Doesn't Cover

Sotheby's specialists are experts in their categories. Their authentication opinions are taken seriously in the market. But expertise is not guarantee — the specialist's opinion is an informed professional view, not an insured warranty.

What is covered:

• Clear title — Sotheby's makes standard representations about title to the lot
• Authenticity — the catalogue description is treated as an authentic representation
• Provenance research — basic provenance is researched; gaps are disclosed

What is not covered:

• Physical condition beyond the published condition report — you are responsible for inspecting
• Future market value
• Import/export complications that arise post-sale

Art Loss Register: Sotheby's checks lots against the Art Loss Register (as do all major houses). For buyers with concerns about a specific work's provenance, an independent Art Loss Register check is available directly through their website.

After the Hammer Falls

When a lot is "knocked down" to you, the process:

1. Invoice is issued promptly — typically within 24-48 hours of the sale
2. Payment is due within seven days (standard terms) — wire transfer is standard for significant amounts
3. After payment confirmation, collection can be arranged or shipping organised through Sotheby's logistics or your own agent

For international buyers, consider import duties and documentation requirements in advance. This affects total cost and timeline.

For first-time buyers, Sotheby's client relations are genuinely helpful — they have an interest in buyers having positive experiences and returning.

For the Christie's parallel perspective, see our Christie's bidding guide.