The Pros and Cons of Car Auctions
Government Car Auctions
Due to the world economic downturn, it has been a necessity to tighten ones belt and attempt to spend less without having to sacrifice ones standard of living.
Government car auctions can be a great way to purchase highly desirable cars at highly desirable prices.
Where do these cars come from?
The source of the cars come from various places, some are repossessions of people that have not been able to keep up their mortgage payment or car repayments, others may vary from failure to pay road taxes, insurance or they might of simply been repossessed due to the car/vehicle being involved in some type of criminal activity.
The Pros and Cons of Car Auctions
Let me point out to you the following 'Pros' and 'Cons'
'Pros'
1. OK, if you're buying from a government auction you're more than likely buying someone's repossession so they will probably go for a lot less than their actual market value...a lot less!!! In some cases even up to 90%.
However, Don't always feel guilty, it's impossible to tell where they came from, some of these cars have been confiscated from criminals who have cheated the system.
2. You can pick up some really special cars here, BMW's, Merc's, Porsche's, almost anything! Some of the most desirable cars around going at prices that are just too good to be true.
3. Its like a surprise bag/lucky dip, you'll never know what's there, there will be hundreds of cars all shapes and sizes, the choices are endless.
4. These auctions usually happene a few times per month, so you don't have rush into anything. If you started with a particular price but you were out-bid you're more than likely going to find a similar car the next time round, or even the same day.
5. There are no pressure sales, If you want to buy the car...you put you hand up. If you don't want to buy the car...don't put your hand up - the only person you have to negotiate with is yourself and not some pushy salesman.
'Con's
1. In any auction, you're under legal obligation to pay for what you bid on (only if you win the bidding).
Let me create a scenario: If you bid on something and realise that you made a mistake, then the hammer goes down and you're the last bidder, there are no pullouts! Take special care when bidding and make sure you're conscious of what your limit is.
2. If you bid and win the bidding, the car is yours (after you pay for it, of course). A lot of the cars have inspection warranties, but some don't.
If you didn't do your research before the purchase and suddenly you realise that there is a scratch you didn't notice or the doors fall off when you drive home, there are not go backs, no warranty, no refunds. What you see is what you get.
Conclusion
So, in my opinion the Pro's outweigh the Con's but in any case there are still rules you need to follow so you don't end up buying a problematic car.
Ok, so here are the rules
(1) Do your research (inspect the vehicle yourself, every inch, check if it has been issued with an inspection warranty etc)
(2) Have a clear figure in mind (and stick to it) don't get caught up in a bidding war, once the bidding goes over your original price...STOP!
(3) If you have an itchy head...don't scratch it!! Well, at least until the bidding is over :)
Anthony Filice is currently writing on Car Auction related issues. You can learn more by visiting my blog,
Car Auctions
http://repo-car-auction.blogspot.com/
Friday, 27 February 2009
Thursday, 26 February 2009
Resources for Finding Car Auctions
Most people are now looking for a cheaper price of
automobiles. Hence people tend to see and attend various
kinds of auto auctions they find. One of best places to
find cheap cars is at auto dealer auctions. This is the
venue most car dealers are taking advantage of because
they can actually save hundreds of thousands and still
profit almost half the price. This is a great venue if
you are looking for very affordable cars.
Resources for Finding Car Auctions
If you want to look for any auctions for car dealers, you
may check on magazines that feature automobiles, any
local newspaper that display announcements for ongoing
auto dealer auctions. Most auctions are posted as
announcements to invite bidders. Hence, you will not find
a hard time looking for one. You may also search online.
Some websites provide a calendar full of auctions and
will tell when and where the next auction will be held.
In this way, you can start listing down the ongoing auto
dealer auctions and even some future auto auctions.
As soon as you have your list completed, you should take
note of the cars sold in those car auctions. Whether they
draw your interest or they are most likely easy to sell.
In this way, you can decide whether you will attend the
these auto auctions or not.
What to Bring with You
Most of the auto dealer auctions will give you the chance
to attend and eventually participate in bidding. Car
dealers need to bring a dealer's license and driver's
license.
These auto dealer auctions often auction off the cars at
a considerably modest price tag because these are usually
seized cars auctions with some as slightly used cars. You
need not to worry however in buying one. As long as you
practice due diligence in looking and checking the car,
there can be no reason why you should be afraid of.
Actually, most of these cars are used only for a few
times. And most have a very short mileage.
It is likewise recommended to bring your own mechanic to
help you in scrutinizing the cars. Most auctions provide
an opportunity for the bidders to take a look at the cars
prior to the auction date. You may also check on who was
the previous owner of the car you intend to buy. In this
way, you can be guaranteed for what you are going to pay
for a car in these auto auctions.
Make new discoveries and learn more handy tips about
public car auctions such as where to find such auctions
near your home and how to get great bargains for your car
deals.
Article Source:
http://EzineArticles.com/?expert=Calvin_Anderson
automobiles. Hence people tend to see and attend various
kinds of auto auctions they find. One of best places to
find cheap cars is at auto dealer auctions. This is the
venue most car dealers are taking advantage of because
they can actually save hundreds of thousands and still
profit almost half the price. This is a great venue if
you are looking for very affordable cars.
Resources for Finding Car Auctions
If you want to look for any auctions for car dealers, you
may check on magazines that feature automobiles, any
local newspaper that display announcements for ongoing
auto dealer auctions. Most auctions are posted as
announcements to invite bidders. Hence, you will not find
a hard time looking for one. You may also search online.
Some websites provide a calendar full of auctions and
will tell when and where the next auction will be held.
In this way, you can start listing down the ongoing auto
dealer auctions and even some future auto auctions.
As soon as you have your list completed, you should take
note of the cars sold in those car auctions. Whether they
draw your interest or they are most likely easy to sell.
In this way, you can decide whether you will attend the
these auto auctions or not.
What to Bring with You
Most of the auto dealer auctions will give you the chance
to attend and eventually participate in bidding. Car
dealers need to bring a dealer's license and driver's
license.
These auto dealer auctions often auction off the cars at
a considerably modest price tag because these are usually
seized cars auctions with some as slightly used cars. You
need not to worry however in buying one. As long as you
practice due diligence in looking and checking the car,
there can be no reason why you should be afraid of.
Actually, most of these cars are used only for a few
times. And most have a very short mileage.
It is likewise recommended to bring your own mechanic to
help you in scrutinizing the cars. Most auctions provide
an opportunity for the bidders to take a look at the cars
prior to the auction date. You may also check on who was
the previous owner of the car you intend to buy. In this
way, you can be guaranteed for what you are going to pay
for a car in these auto auctions.
Make new discoveries and learn more handy tips about
public car auctions such as where to find such auctions
near your home and how to get great bargains for your car
deals.
Article Source:
http://EzineArticles.com/?expert=Calvin_Anderson
Car Dealer?? or Car Auction??
Due to the inevitable economic crisis, people would
no longer go to car dealers to buy a car. They are often
seen going to salvage auto auctions to buy really cheap
cars. You may find these auctions from any of your local
newspapers or in some pages of your favourite magazines.
However, most people prefer salvage auto auctions that
are found online where it is more convenient to shop than
going to actual auctions.
The Considerations
Driving your next car at a very low price and in just a
few clicks is a true magical experience. However, don't
get yourself hypnotized by what you see and buy the car
you are interested in without taking the following facts
for consideration.
1. Know your salvage cars. Salvage cars are those used
cars that have been the subject of an accident, struck by
fire, flooded, hit by debris, and have been declared
totalled by the last owner's insurance company. This
means that you will have to do some repairs on the car
you intend to buy. Therefore, it is best to visit the
actual auction so that you can conduct some technical
inspection on the car before actually paying for it. Most
salvage auto auctions allows you to see, check, and
conduct some inspection. This is to show their good faith
and to uphold the good name of their company. However, if
you have limited knowledge on the technical aspects of a
vehicle, it is highly advisable that you bring with you a
mechanic to help you check the car.
2. Know the Pros and Cons. One obvious advantage in
getting a salvaged car in seized car auctions is that you
get to own a car and amazingly save money without having
to go through an irritating dealer. Buying a salvaged car
is not really as cheap and fun as it may seem. You may
not be able to get full liability car insurance. You will
have to shoulder the expenses for the repairs. These
repairs may sometimes cost you much. And you will be
required to pay on the spot immediately after the bidding
process. So you need to bring with you cash, checkbook,
or pre-approved loan from a financing institution before
attending an auction.
Being able to know what salvage cars really are provides
you with the knowledge of the pros and cons in buying
them. Your search for your next vehicle would surely be
fun and enjoyable in salvage auto auctions.
Make new discoveries and learn more handy tips about
public car auctions such as where to find such auctions
near your home and how to get great bargains for your car
deals.
Article Source:
http://EzineArticles.com/?expert=Calvin_Anderson
no longer go to car dealers to buy a car. They are often
seen going to salvage auto auctions to buy really cheap
cars. You may find these auctions from any of your local
newspapers or in some pages of your favourite magazines.
However, most people prefer salvage auto auctions that
are found online where it is more convenient to shop than
going to actual auctions.
The Considerations
Driving your next car at a very low price and in just a
few clicks is a true magical experience. However, don't
get yourself hypnotized by what you see and buy the car
you are interested in without taking the following facts
for consideration.
1. Know your salvage cars. Salvage cars are those used
cars that have been the subject of an accident, struck by
fire, flooded, hit by debris, and have been declared
totalled by the last owner's insurance company. This
means that you will have to do some repairs on the car
you intend to buy. Therefore, it is best to visit the
actual auction so that you can conduct some technical
inspection on the car before actually paying for it. Most
salvage auto auctions allows you to see, check, and
conduct some inspection. This is to show their good faith
and to uphold the good name of their company. However, if
you have limited knowledge on the technical aspects of a
vehicle, it is highly advisable that you bring with you a
mechanic to help you check the car.
2. Know the Pros and Cons. One obvious advantage in
getting a salvaged car in seized car auctions is that you
get to own a car and amazingly save money without having
to go through an irritating dealer. Buying a salvaged car
is not really as cheap and fun as it may seem. You may
not be able to get full liability car insurance. You will
have to shoulder the expenses for the repairs. These
repairs may sometimes cost you much. And you will be
required to pay on the spot immediately after the bidding
process. So you need to bring with you cash, checkbook,
or pre-approved loan from a financing institution before
attending an auction.
Being able to know what salvage cars really are provides
you with the knowledge of the pros and cons in buying
them. Your search for your next vehicle would surely be
fun and enjoyable in salvage auto auctions.
Make new discoveries and learn more handy tips about
public car auctions such as where to find such auctions
near your home and how to get great bargains for your car
deals.
Article Source:
http://EzineArticles.com/?expert=Calvin_Anderson
Automobile Repossessions
Repossessed vehicles or an automobile taken back from the
lender is an alternative purchase for consumers, in the
process of looking for a new or used vehicle. This
process is fairly straightforward however can be simpler,
by understanding a few key elements of purchasing a
repossessed vehicle. First a repossessed vehicle is the
result of a person unable to make payments on a car loan.
A bank or lender, giving the loan to the owner made
several attempts to contact the owner of the vehicle to
make payments. When payments are delinquent, the bank or
lender goes out and gets to vehicle back or the owner
returns the vehicle.
When considering the purchase of a repossessed vehicle,
any number of auctions and lending institutions has an
available inventory. Typically, large lenders hire an
outside agency, to auction hundreds of vehicles in one
venue. This is the auction houses business, and lenders
rely on making a small profit after auctioning new cars
and used cars. Find an auction by looking in local print
or doing an online search. Another method, of finding
repossessed cars, is to contact local banks. In smaller
communities, banks are typically aware of any existing
inventory. Banks are normally happy to earn a bit more on
the sale of the vehicle. The lenders percentage of loss
is lower when using this method of selling recovered
autos.
It is ideal for customers, purchasing a repossessed
vehicle, to have some knowledge of auto mechanics. If the
purchaser has no mechanical ability, it is vital to find
a trustworthy mechanic to take along. Paying a mechanic,
to come to an auction, is likely cheaper than a down
payment at a traditional dealership. Repossessed vehicles
can go for as much as 80% under the appraised value;
however it is still necessary to have a basic
understanding of how the car runs. An auto is sold in
current condition, meaning the buyer will pay any future
repairs. This is something to seriously consider when
understanding many repossessed vehicles parallel a
foreclosed home. If owners fail to make payments, it is
likely that an oil change or fixing damage might be
unaffordable. Other circumstances might include an owner
who becomes aggressive upon finding out they are losing a
vehicle. This might include causing damage to the
vehicle. For this reason, many vehicles at auction are
simply sold for auto parts.
When actually bidding on a repo, remember to carry a
price index for vehicles, typically sold at any discount
store. Have an idea of what typical values are on a
specific car, quote the price according to existing
damage, and move forward with bidding appropriately.
Remember purchasing a repo is much the same as purchasing
a car within the confines of a traditional dealership.
Any auto loans, or necessary cash, must be in hand prior
to purchasing the auto. In addition, a copy of current
car insurance should be available. If current auto
insurance was taken out on a previous vehicle, coverage
should be current until you contact your agent. Discuss
this with an insurance agent to verify coverage and any
existing grace period.
Chris Robertson is an author of Majon International, one
of the worlds MOST popular internet marketing companies
on the web. Learn more about Repossessed Cars and Autos.
Article Source:
http://EzineArticles.com/?expert=Chris_Robertson
lender is an alternative purchase for consumers, in the
process of looking for a new or used vehicle. This
process is fairly straightforward however can be simpler,
by understanding a few key elements of purchasing a
repossessed vehicle. First a repossessed vehicle is the
result of a person unable to make payments on a car loan.
A bank or lender, giving the loan to the owner made
several attempts to contact the owner of the vehicle to
make payments. When payments are delinquent, the bank or
lender goes out and gets to vehicle back or the owner
returns the vehicle.
When considering the purchase of a repossessed vehicle,
any number of auctions and lending institutions has an
available inventory. Typically, large lenders hire an
outside agency, to auction hundreds of vehicles in one
venue. This is the auction houses business, and lenders
rely on making a small profit after auctioning new cars
and used cars. Find an auction by looking in local print
or doing an online search. Another method, of finding
repossessed cars, is to contact local banks. In smaller
communities, banks are typically aware of any existing
inventory. Banks are normally happy to earn a bit more on
the sale of the vehicle. The lenders percentage of loss
is lower when using this method of selling recovered
autos.
It is ideal for customers, purchasing a repossessed
vehicle, to have some knowledge of auto mechanics. If the
purchaser has no mechanical ability, it is vital to find
a trustworthy mechanic to take along. Paying a mechanic,
to come to an auction, is likely cheaper than a down
payment at a traditional dealership. Repossessed vehicles
can go for as much as 80% under the appraised value;
however it is still necessary to have a basic
understanding of how the car runs. An auto is sold in
current condition, meaning the buyer will pay any future
repairs. This is something to seriously consider when
understanding many repossessed vehicles parallel a
foreclosed home. If owners fail to make payments, it is
likely that an oil change or fixing damage might be
unaffordable. Other circumstances might include an owner
who becomes aggressive upon finding out they are losing a
vehicle. This might include causing damage to the
vehicle. For this reason, many vehicles at auction are
simply sold for auto parts.
When actually bidding on a repo, remember to carry a
price index for vehicles, typically sold at any discount
store. Have an idea of what typical values are on a
specific car, quote the price according to existing
damage, and move forward with bidding appropriately.
Remember purchasing a repo is much the same as purchasing
a car within the confines of a traditional dealership.
Any auto loans, or necessary cash, must be in hand prior
to purchasing the auto. In addition, a copy of current
car insurance should be available. If current auto
insurance was taken out on a previous vehicle, coverage
should be current until you contact your agent. Discuss
this with an insurance agent to verify coverage and any
existing grace period.
Chris Robertson is an author of Majon International, one
of the worlds MOST popular internet marketing companies
on the web. Learn more about Repossessed Cars and Autos.
Article Source:
http://EzineArticles.com/?expert=Chris_Robertson
Goverment Car Auctions
If you have heard from friends or somewhere online that
government cars auctions are a great way to find a new
vehicle for a very good price, it is true. Government
cars auctions are an excellent way to find new cars for
an extremely discounted price. You can often get a pretty
new car, maybe one or two years old, for up to ninety
percent off of the market value of it.
You may wonder where the government gets the cars that
they auction. The cars that are sold at these auctions
are usually seized through police and are the vehicles of
people who have either not paid taxes, or they were
vehicles that were used for some sort of criminal
activity, usually smuggling or drug trafficking.
It is quite common for these cars to sell between
anywhere from thirty to ninety percent off of the market
value of the car.
If you are new to bidding at car auctions, it is very
important, even crucial to know the market value of the
cars you are bidding on. If you do not know this
information from the beginning, you might accidentally
spend too much for a car that you want, and you will not
know what kind of discount you will be getting off of the
market value.
Auctions can be found everywhere, in order to find out
where they are you may want to check out gov-auctions.org
in order to find listings of auctions in your area. These
auctions are a great way to find a new vehicle for a
heavily discounted price. These days, it is very
important to save one, especially on an investment like a
vehicle.
Alex Silva knows cars and government auctions like he
knows the back of his hand. He writes for popular blog
SeizedGovernmentGoodsOnSale.Com. He provides informative
content on topics like government cars auction and more.
Get free tips when you check out the site today!
Article Source:
http://EzineArticles.com/?expert=Alex_Silva
government cars auctions are a great way to find a new
vehicle for a very good price, it is true. Government
cars auctions are an excellent way to find new cars for
an extremely discounted price. You can often get a pretty
new car, maybe one or two years old, for up to ninety
percent off of the market value of it.
You may wonder where the government gets the cars that
they auction. The cars that are sold at these auctions
are usually seized through police and are the vehicles of
people who have either not paid taxes, or they were
vehicles that were used for some sort of criminal
activity, usually smuggling or drug trafficking.
It is quite common for these cars to sell between
anywhere from thirty to ninety percent off of the market
value of the car.
If you are new to bidding at car auctions, it is very
important, even crucial to know the market value of the
cars you are bidding on. If you do not know this
information from the beginning, you might accidentally
spend too much for a car that you want, and you will not
know what kind of discount you will be getting off of the
market value.
Auctions can be found everywhere, in order to find out
where they are you may want to check out gov-auctions.org
in order to find listings of auctions in your area. These
auctions are a great way to find a new vehicle for a
heavily discounted price. These days, it is very
important to save one, especially on an investment like a
vehicle.
Alex Silva knows cars and government auctions like he
knows the back of his hand. He writes for popular blog
SeizedGovernmentGoodsOnSale.Com. He provides informative
content on topics like government cars auction and more.
Get free tips when you check out the site today!
Article Source:
http://EzineArticles.com/?expert=Alex_Silva
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