When i go to the my inventory section of the auction house, I always see a few Christmas lights and decorations - the 3 kings or whatever you call them, sitting there ready for me to sell.. Today i was wanting to tidy up my invy. That I noticed those items are not in my invy. What would happen if I actually tried to sell these things that aren't really in my invy?

A great question... but ... if you don't really have them... anywhere, I don't think it would accept them for auction

I do have them, they are sitting in my xmas storage house. Which is how I noticed I didn't actually have them in my invy. When I arrived to drop them off where they belonged with their brothers and sisters.

they appear to go into the auction house
once you rf they disappear

its some glitch just rf it should be gone