What is a buyer’s premium at a watch auction?
A buyer’s premium is a percentage fee the auction house charges the winning bidder on top of the hammer price. On ChronoBid, the published rate is shown on every lot before you bid, in Australian dollars.
Quick answer
On ChronoBid the published buyer’s premium is 7.5% of the hammer price. If the hammer is $20,000 AUD, the premium is $1,500 AUD and the estimated total before shipping is $21,500 AUD. GST treatment is shown on Auction Fees and your invoice.
How a buyer’s premium works
You bid against other collectors. The highest accepted bid is the hammer price. The house then adds its buyer’s premium.
That pattern is standard across Australian auction houses and international watch sales. Rates differ by house. Some include GST in the premium. Others add GST on top. Always read the fee page for the sale you are in.
ChronoBid puts the percentage and an estimated total before shipping on the lot page so you do not have to reverse-engineer the invoice after you win.
What the premium does not include
Shipping, insurance, storage after a free collection window, and currency-conversion costs sit outside the premium unless a lot says otherwise.
Late-payment or cancellation charges, if any, are listed on Auction Fees.
Pre-owned watches often need a service after purchase. That workshop cost is yours unless the lot states a warranty or included service.
How to set your real bid limit
Decide the most you will pay all-in before shipping. Work backwards from that number.
Divide your all-in ceiling by 1.075. That is the highest hammer you can afford at the published 7.5% premium, before GST rules are confirmed.
Stick to that hammer number when the countdown gets loud. The closing time is fixed, so bid before it ends.