The idea of buy cars at auctionsNowadays it is booming, since in this way you can get a cheap car, but you must avoid being cheated, in addition to learning how to make an offer, so follow the tips below.
How to buy cars at auction in the united states
If you want buy cars at auctionsYou should know that it may be a trap for you if you do not know several questions that you are about to read and it will depend on whether you consider whether an auction is for you or not.
Where to find car auctions
In the United States, a large number of auctions are available to licensed car dealerships, but you can also search for auctions online and in the local newspaper and you will find public auctions near your area.
If the auction publishes a list of vehicles ahead of time, do a vehicle value search and a car history report.
Most online auctions feature cars from municipal lots including cars that have been towed, abandoned and impounded. But in most cases these will not be the most attractive, safe, or well maintained. Another possibility is that you find old rental cars or fleet vehicles like corporate or police unarmed ones.
Keep calm at the auction
On the day of the auction stay calm, it is easy to get excited and overwhelmed. You can visit an auction the day before you plan to bid to familiarize yourself with the process,
Get there early and check the lot. In case you don’t know too much about cars, come to the auction with a friend and look for the cleanest cars and take note of the ones that interest you.
If those cars are the same that you investigated in advance, you will have started well. Note that some auctions will allow you to drive test cars of your liking, then take this opportunity.
Benefits of buying at car auctions
The main benefit of the auction, obviously, is that cars, and even the best ones, will generally cost much less than at a dealership or if you buy from a private party, but never drive under pressure.
Drawbacks of car auctions
However, although you can get a benefit in terms of cost, there are also drawbacks such as that in the United States there is no federal law that requires sellers to disclose defects, damages and other issues about used cars.
This means that most auctions sell the cars as they are received even if the car they receive is seriously damaged, they will still put it up for auction this way without any repair and will sell it to you without warranty.
However, some states have laws on the sale of used cars but generally the law is directed to authorized dealers and they are also difficult laws to enforce at auction if the buyer agreed to the terms.
However, if you buy a car at auction with damage, you can take it to the local dealer of that brand and they are required by law to do the repair work for free.
On the other hand, think that an auction is not the best place if you are an overly detailed buyer, since the objective is to buy the best car you can find at the lowest price. For which you should set aside the preferences around the make, model and year.
Payment method at auto auctions
Many auctions require buyers to pay in cash, but this is a detail that must be disclosed to you in advance, either on the auction website or in the newspaper ad, as traditional financing is not an option in the auction houses. auctions, therefore you will not be able to buy your cheap car with your credit card.
Tips for buying cars at auctions
Follow these tips to buy cars at auctions So that you do not have problems with your new cheap used car and you can buy it in good condition:
- Be careful because this is the place where recovered vehicles arrive, wrecked, whose odometer will show you a false number, etc., But it does not mean that the whole lot is not ideal for you, so you should always be suspicious and inspect.
- Remember that you will need cash or an approved loan if you win the offer.
- If you plan to pay with a loan that you obtained from your bank, be prepared to cover a deposit once you have won with your offer.
- While it is not the most common, find out in advance if the auction accepts credit cards, but you will also have to pay taxes, title and entry fees.
- If you finance the purchase of your car, you will probably need to carry insurance from a loan agency, so it is a good idea to talk to an agent who can help you find auto insurance quotes before buying it. Independent agents work with multiple insurers and you can make comparisons for free.
- Keep in mind that you will be surprised because all the cars shine, they seem new because they have been touched, polished and polished again for the auction, but it does not guarantee the solidity of the car, so you should always check the history of the car, if they are. VIN match the dash and other identifying details.
- In fact, sellers will hide problems from you by masking faults. For example, a defective motor will show it to you making it look clean and with a good sound.
- If you don’t know the tricks that sellers can use, bring a friend who knows these tricks, as there is no guarantee at public auctions.
- At a public auction you will usually find repossessed vehicles and trucks that lenders want to sell at a price that allows them to recoup their losses. Then make sure that the car is well maintained and that the interior is in good condition, since these are the areas with the greatest problems when it comes to recoveries.
- Beware of used car sellers at auctions. Take your time, research that offer one, two, three and four times because everything you see may not be reality.
- At auction it’s easy to feel rushed and pressured to make a decision, so be prepared to stay calm.
- If you do not have total security on a vehicle, then it is better that you leave and buy another day before buying a car that later you will not be able to use or sell it.
- Set yourself a limit before the bidding starts and stick to that limit and set your best price without going over it.
- It is important that you arrive early because if you are late and arrive late you will not have the opportunity to inspect the car in which you are interested.
- If you are far from your home or out of your state, think about extra money for shipping, since it is not convenient for you to drive a car that has not been tested or that may have any breakdown during the journey.
How to buy cars at online auctions
If you think about buying cars at online auctions, you should be sure that the site offers you the same advantages as an authorized dealer for buying used cars.
The site should also provide you with access to vehicles with clean titles in addition to allowing you to access the tenders live and in advance 24 hours a day.