Tips on Buying a Car at an Auction: What to look out for
auction (ôk-shen), noun.
"A public sale in which property or items of merchandise are sold to the highest bidder."
The definition stated above for an auction goes the same for a car auction. People bring their cars over and people who are in the market for a used car also comes over looks around the lot for anything they may like and bids for them when it is time. The person with the highest bid gets to buy the car.
Auctioned cars usually come from company fleets, police cars or car rentals. There are also many sites in the Internet that provides service like these for anyone who may browse on through their pages.
Many people see these auctioned cars as a chance to get a great deal. Often times the winning bid would be below the original asking price. Don’t be too sure though, sometimes, the vehicles being auctioned off may very well be a lemon in disguise. It would be best to take precautionary steps to protect your money from being ripped off. Here we will provide you with some tips so that you can distinguish a good deal from a bad one. We will also show you what to look for in the auction lot so that you can have an actual accounting of their true value. Buying cars from an auction maybe fun, but you want the best deals there is.
There are many types of auctions, but they usually come under the umbrella of these five main types of auctions. There is the online auto auction, here websites show pictures and the specifications of the car being auctioned on their sites. Wholesale Auto Auctions, these are usually dealer to dealer type auctions, Public Auto Auctions, open to any consumer who’s interested. Police Auctions and Government Auctions, this is usually open to anyone also. Insurance Auto Auctions & Salvage Auto Auctions, this is usually open only to dealers but there are instances that the public is invited.
Be prepared with your budget. Know your limitations, make sure you’re bank account can cover the price you have to pay if you do buy one from the auction. Many auctions prefer bank drafts than personal checks so be prepared.
At car auctions, there are lights behind the auctioneer that indicates the state of the title. There are three lights, green, yellow and red. Green means the title is all right. Orange indicates that the title is in transit, or there is some frame damage, but not enough to brand the title, and Usually the seller is right there next to the podium and they have the owners manual and title ready to hand over to you, and you settle in the closing room. Red means that there are issues with the title, rebuilt, not actual mileage, or some other problem. This is important, because you would not expect to pay as much for that car as one which had not been in a wreck. At wholesale auctions as the cars come up to the block, the ones with bad titles trigger the red title warning light to come on over the auction box. When you buy a car from the auction, make sure that the contract clearly states the color of the light when you bought it. This way they cannot fool you and you have got yourself a scapegoat.
Trek on to the auction site at the earliest time possible. If you are there early you could have the place without any distraction and you can take your sweet time making the rounds and inspections of the lot. As you inspect the cars, check everything, the car doors, the hinges, the windows and look for its VIN if it was produced on and after 1981. Make sure the entire VIN match. If they don’t they might be stolen or has been into a big accident and was fixed with other parts from other cars. If you want you can have someone with a computer ready to check on the VIN.
Don't get caught up in the fury of a bidding war and spend way too much for a certain car. No matter how much you want the car, it wouldn’t be worth it if it goes beyond the published price. Start with small bids and do go way too far from the last bid made. . Don't forget you have to pay a buyer's premium on the car, which could bring your cost over market value. Make your calculations. It is recommended highly that you bid only with car with title present, but if you want a car and they promised to send it to you right away, have the agreed period of time stated in the contract. If they go past the deadline, you can get your money back; at that point they are already in breach of contract.
Now here is a list of some things that you should watch out for in the cars being auctioned off. They are telltale signs that the car may have been involved in a wreck or has had problems with it such as getting flooded in with water, or could have problems with the title or ownership. Following these tips may save you from a future headache. Check everything thoroughly so you may enjoy the car that you may eventually drive.
Check out the tires and the wheels. Balding or uneven tires that are not in the same state as the others may usually indicate bad alignment that in turn may be due to wreckage or an accident. Some cars are positioned to hide damaged parts, look around.
VIN stickers do not match; this could be stolen or damaged. Check for the title, a rebuilt title will probably get the price significantly lower. Avoid “Title in Transit” cars.
Excessive dimples, scratches, dings, dents, paint chips, especially on bumpers, previous owner could be very careless and no proper maintenance could have been done. Check disk brakes and drums for rust, this could be due to the car being flooded or sat abandoned for a long time. New carpeting for no apparent reason at all is also indicative of the vehicle being flooded.
Check the paint, this could be a bit hard but some have obvious points where in the paint is thicker in other areas. This could indicate that the car has been in a collision already.
Check parts if they work, parts like power windows that don’t work or is loose or crooked. Check the air conditioning unit, radio or the convertible top. Make a checklist to be doubly sure.
Over all, in buying a car you ought to trust your gut instincts too. When a car looks ok still and has a good price but you get this nagging feeling that there’s something wrong with it, keep away from it. You’ll lose more sleep if you give in to it. Auctions are a fun way to buy a car and they can get pretty exciting too. So gather up all the friends and family the next time there’s a car auction in your area, or better yet, browse through the Internet every now and then to check up on the latest prices and events.
Author:
Copyright 2005 John Nuble Car-Buying-Guide.US. All Rights Reserved.
http://car-buying-guide.us/
"A public sale in which property or items of merchandise are sold to the highest bidder."
The definition stated above for an auction goes the same for a car auction. People bring their cars over and people who are in the market for a used car also comes over looks around the lot for anything they may like and bids for them when it is time. The person with the highest bid gets to buy the car.
Auctioned cars usually come from company fleets, police cars or car rentals. There are also many sites in the Internet that provides service like these for anyone who may browse on through their pages.
Many people see these auctioned cars as a chance to get a great deal. Often times the winning bid would be below the original asking price. Don’t be too sure though, sometimes, the vehicles being auctioned off may very well be a lemon in disguise. It would be best to take precautionary steps to protect your money from being ripped off. Here we will provide you with some tips so that you can distinguish a good deal from a bad one. We will also show you what to look for in the auction lot so that you can have an actual accounting of their true value. Buying cars from an auction maybe fun, but you want the best deals there is.
There are many types of auctions, but they usually come under the umbrella of these five main types of auctions. There is the online auto auction, here websites show pictures and the specifications of the car being auctioned on their sites. Wholesale Auto Auctions, these are usually dealer to dealer type auctions, Public Auto Auctions, open to any consumer who’s interested. Police Auctions and Government Auctions, this is usually open to anyone also. Insurance Auto Auctions & Salvage Auto Auctions, this is usually open only to dealers but there are instances that the public is invited.
Be prepared with your budget. Know your limitations, make sure you’re bank account can cover the price you have to pay if you do buy one from the auction. Many auctions prefer bank drafts than personal checks so be prepared.
At car auctions, there are lights behind the auctioneer that indicates the state of the title. There are three lights, green, yellow and red. Green means the title is all right. Orange indicates that the title is in transit, or there is some frame damage, but not enough to brand the title, and Usually the seller is right there next to the podium and they have the owners manual and title ready to hand over to you, and you settle in the closing room. Red means that there are issues with the title, rebuilt, not actual mileage, or some other problem. This is important, because you would not expect to pay as much for that car as one which had not been in a wreck. At wholesale auctions as the cars come up to the block, the ones with bad titles trigger the red title warning light to come on over the auction box. When you buy a car from the auction, make sure that the contract clearly states the color of the light when you bought it. This way they cannot fool you and you have got yourself a scapegoat.
Trek on to the auction site at the earliest time possible. If you are there early you could have the place without any distraction and you can take your sweet time making the rounds and inspections of the lot. As you inspect the cars, check everything, the car doors, the hinges, the windows and look for its VIN if it was produced on and after 1981. Make sure the entire VIN match. If they don’t they might be stolen or has been into a big accident and was fixed with other parts from other cars. If you want you can have someone with a computer ready to check on the VIN.
Don't get caught up in the fury of a bidding war and spend way too much for a certain car. No matter how much you want the car, it wouldn’t be worth it if it goes beyond the published price. Start with small bids and do go way too far from the last bid made. . Don't forget you have to pay a buyer's premium on the car, which could bring your cost over market value. Make your calculations. It is recommended highly that you bid only with car with title present, but if you want a car and they promised to send it to you right away, have the agreed period of time stated in the contract. If they go past the deadline, you can get your money back; at that point they are already in breach of contract.
Now here is a list of some things that you should watch out for in the cars being auctioned off. They are telltale signs that the car may have been involved in a wreck or has had problems with it such as getting flooded in with water, or could have problems with the title or ownership. Following these tips may save you from a future headache. Check everything thoroughly so you may enjoy the car that you may eventually drive.
Check out the tires and the wheels. Balding or uneven tires that are not in the same state as the others may usually indicate bad alignment that in turn may be due to wreckage or an accident. Some cars are positioned to hide damaged parts, look around.
VIN stickers do not match; this could be stolen or damaged. Check for the title, a rebuilt title will probably get the price significantly lower. Avoid “Title in Transit” cars.
Excessive dimples, scratches, dings, dents, paint chips, especially on bumpers, previous owner could be very careless and no proper maintenance could have been done. Check disk brakes and drums for rust, this could be due to the car being flooded or sat abandoned for a long time. New carpeting for no apparent reason at all is also indicative of the vehicle being flooded.
Check the paint, this could be a bit hard but some have obvious points where in the paint is thicker in other areas. This could indicate that the car has been in a collision already.
Check parts if they work, parts like power windows that don’t work or is loose or crooked. Check the air conditioning unit, radio or the convertible top. Make a checklist to be doubly sure.
Over all, in buying a car you ought to trust your gut instincts too. When a car looks ok still and has a good price but you get this nagging feeling that there’s something wrong with it, keep away from it. You’ll lose more sleep if you give in to it. Auctions are a fun way to buy a car and they can get pretty exciting too. So gather up all the friends and family the next time there’s a car auction in your area, or better yet, browse through the Internet every now and then to check up on the latest prices and events.
Author:
Copyright 2005 John Nuble Car-Buying-Guide.US. All Rights Reserved.
http://car-buying-guide.us/
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