Car auctions can turn out to be great places for picking up good used cars at very economical prices. If you are on the lookout for a used car, then I would advise that you at least visit a car auction or two before buying one from a dealer. Some basic car auction information that will get you started with car auctions is given here.
Who Holds Car Auctions? Different types of organizations and people hold different kinds of car auctions for different purposes. The best car auctions are those that are held by government agencies like tax departments, local police and other law enforcement agencies. Auctions of vehicles repossessed by banks and other financial and lending institutions also throw up very good bargains at times.
Why Should You Buy At Car Auctions? Most people buy at car auctions because they offer prices which are not available anywhere else. A large number of cars being auctioned off are sold at prices that are fifty to seventy per cent less than their actual market value. In the worst case, you can easily get a car for three fourths of its market value at an auction. Most used car dealers also pick up cars from auctions, carry out minor jobs and then sell them off with huge profits. It is because of this reason that you should always check out car auctions before going a used car dealer. Apart from this, car auctions, especially those featuring seized and repossessed vehicles sometimes feature great cars in very good condition being sold for a fraction of their market values. Many people end up buying luxury vehicles quite cheap at such car auctions.
Where Are These Auctions Held? Car auctions are held at regular intervals of time by most government agencies and financial institutions. Most agencies hold car auctions monthly, quarterly or annually and you can easily find out about car auctions in your area through written mass media. However checking out car auction sites on the internet is a better idea and generally provides better results. You can also contact your local law enforcement agencies and ask them about the date and venue for their next car auction.
What Does One Need To Bid At Car Auctions? Apart from the fact that you need to be above eighteen years of age and possess your own driver’s license, having an ample amount of cash in the bank to pay for your car in case you win the bid is necessary. Most auctions do not accept checks or credit cards and payment is generally made only through drafts or cash.
What’s The Catch? There are two main things that you need to take care of before you start bidding at car auctions. The first one is that you are buying a used car and used cars always need to be looked at with caution. Carry out all checks possible before bidding on a vehicle. The other thing that you need to beware of is exceeding a pre-decided budget while bidding. Many people push up bids on cars much above their actual market value. Make sure that you do not get carried away while bidding and you will definitely come out a winner from a car auction.