Public Auto Auction - Should You Buy There?
It is a fact that when people have a chance to save money on the things that they need and want for themselves and their family they have reason to celebrate. When shopping for cars, vans, SUVs and trucks, it is even more exciting to save a few percentage points off the sticker price because that can easily mean a savings of a few hundred bucks. You can save much more than that if you can find the right vehicle at a public auto auction where you might be able to find an incredible deal on a used car.
However, if you are thinking about going to a car auto auction for the first time to get a new vehicle for the family, then you do not want to go to the event without the proper knowledge and preparation. Without understanding the process and being properly prepared before going to motor car auctions, you could actually end up getting yourself into a bad deal and spending more money than if you had just shopped at a traditional car dealership.
By following a few tips from experienced public auto auction buyers, you can reduce your chances of getting burned at your first used car auction. Those who will heed the following advice will stand a much better chance of driving home with a good vehicle at an even better price.
First of all, people need to understand some of the basic facts relating to public car auction proceedings. Most of these motor car auctions have vehicles that were seized by a government agency, such as the police, DEA or IRS, or that have been repossessed by a bank or financial institution. All of these used vehicles are sold 100% "as is" and they do not carry any kind of warranty or guarantee. Therefore, any problems with the car simply have to be dealt with by the winning bidder, who will have no recourse with the seller.
Also, if you get the winning bid, you cannot return the car as all sales are absolutely final. Some people have tried to get a reimbursement for a vehicle that turns out to be a "lemon," yet this is extremely difficult to do because the car auction houses expect that bidders know exactly what they are getting themselves into before placing a bid.
Anyone who bids at public auto auctions also needs to keep in mind that you don't only pay the amount of the winning bid. On top of the bid price, the winner must also pay a buyer's premium that will equal anywhere from five to ten percent of the amount of the bid. This additional money pays for the services of the auction house and auctioneer. In most states, you will also need to pay for a license, registration and transfer fee.
Another thing that can be very helpful to people who are considering buying a vehicle at a public auto auction is to take along someone who can give you an good assessment of the vehicle, if mechanics is not your strong point. There is a brief amount of time before used car auctions to inspect the car you are interested in bidding on and the more you, or your companion, know about cars, the better choice you will make. If you have a clear understanding of the auction process and you take the time to properly check out the vehicles, then you might be able to grab a super bargain at the next car auto auction you attend.
Related topics about public auto auction
Police Auto Auctions
Because most of the seized cars that have been impounded by police were operational at the time that they were taken off of the street because of driver infractions, many people feel more secure about buying from a police auto auction. In contrast, there are many repossessed cars that are sold through auto actions by banks and finance companies because people stopped making payments on the car due to some kind of mechanical malfunction.
Government Car Auctions
You will get the best deals through government car auctions that are not well publicized because fewer people will show up to bid against you. This means you might have to do a little bit of extra leg work and sleuthing to find the government auto auctions in your area, rather than relying on hearing about it through mass advertising, but that extra work might end up saving you thousands of dollars at the car auto auction.
