Auctions are fun for some, mainly because one gets to see how the buying process takes place, and get a glimpse of who are the others who frequent these auctions. The most common kind of auction that we have heard of is that of art and antique pieces. Today, almost all products are sold in auctions, right down to cars and other vehicles. Visiting an auto auction for the first time can be quite an exciting experience for most people. They will see the whole process unfold in front of their eyes, check out the various cars that are brought into the auction and how to participate in one.
For most people auto auctions become an option they consider when they are thinking about buying a second car for their home. In order to help them make better decisions related to the auto auctions, here are some tips they need to know before hand.
1. What does “Auction” mean?
It is important to understand the meaning of an auction. People have misconceptions that auctions are where they get new products at cheaper price. This is not true; auctions are only venues where used or old products are being sold, because they are not saleable otherwise. For example, in auto auctions, we find cars that have been confiscated, repossessed and those which are government surpluses.
There will be a minimum price quoted for the cars, and working with that, people who are attending will make a bid. And the person who has made the highest bid will win the sale, and have to pay the price to take the car home. The auction comes to a close when the auctioneer says “Going, Going, Gone’ and brings down the hammer.
2. Where is the Auto auctions held?
There are select places where these auto auctions are usually held. If they are local auto auctions, most likely in venues which are near the impound or where there is plenty of space. There will be news items and advertisements regarding these in the local newspaper and on the bulletin boards. For other kinds of auctions, information will be posted on the newsletter or again the newspaper. For online auto auctions, one has to sign up with a site and thereon, they will be send regular information on what’s happening and when the next auction is going to be held, so you can plan accordingly.
3. How to bid?
Right after the auction commences, the product or automobile will be brought up, and the bidding will soon follow. Make note of the minimum price being quoted, as this is what will be used to bid. If you are visiting for the first time, watch how the others bid, the kind of prices being quoted, and how it works its way upwards. Next time, you wish to purchase a car, keep a budget in mind, and bid within that. Don’t get carried away, as you will end up not being to afford what you just bought.