Low Auctioneer exam pass rate fuels shortage in Texas?

Posted on June 6, 2023

Did you know that there is a shortage of licensed Auctioneers in Texas?

Did you know that virtually every city, county, and municipality NEEDS Auctioneers?

According to several sites, there are about 150, 000-200,000 deaths in Texas each year, 40,000 in DFW alone and 16,000-18,000 deaths in Dallas County specifically. That is about 411 deaths PER DAY in Texas. And that does not count other Auction needs - bankruptcy, divorce, downsizing, overstock liquidations, business closures, landlord lockouts, storage unit liquidations, model home furniture sales, guardianship sales and more. 

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There are currently about 1990 licensed Auctioneers in Texas and another 200 or so Associate Auctioneers. The numbers are misleading and include Auctioneers who have maintained their licenses but are "retired", part-time contract Auctioneers hired by other companies, Auctioneers hired to work at one company and those that only specialize in certain licensed activities (for example car auctions or cattle auctions which often require specialized experience and skills) and Auctioneers licensed in multiple states. 

 According to the TDLR website as of May 1, 2023, only 53.8% of potential new Auctioneers pass the test so far in 2023. In 2020, it was worse - only 46.1% passed the test in that year. Conclusion? - even licensed Auctioneers can and should learn more. There are potentially far more unlicensed Auctioneers - no one really knows. This is one reason why you should ALWAYS select a licensed Auctioneer to conduct your auction - in person OR online. 

Although there is no license requirement to hold online Internet auctions (unless there is a live bid component) in Texas, only LICENSED Auctioneers pay dues into the state mandated Education and Recovery Fund (Section 1802.151-1802.156). If there is a problem with a LICENSED Auctioneer you can file a complaint and seek restitution and resolution through the Texas Department of Licensing and Regulation (TDLR) process. Unlicensed Auctioneers are not subject to this process and it may be necessary to pursue legal avenues to resolve an issue. Licensed Auctioneers have vetted background checks and complete 6 hours of continuing education every year to maintain a license which includes 2 hours of laws and rules and 4 hours of additional subjects. Since 2007 Kent Anderson has completed over 2,362 hours in various subject matters to obtain, keep and renew his credentials.An Auctioneer license is not sufficient to call a real estate auction and a real estate license alone does not authorize a person to act as an Auctioneer (Texas Occupations Code, Chapter 1802). 

In almost every case imaginable, a licensed Auctioneer will be well worth the fee, but the relief of knowing you are protected is - priceless.

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All content provided by Maple Bids LLC is not legal advice and is provided for informational purposes only. No information should be relied upon or considered legal advice or used as a basis upon which to make legal decisions.